Cash-on-Cash ROI & Financing Strategies for Real Estate Investors
Cash-on-Cash ROI (CoC ROI) is a crucial metric that shows the return on the actual cash you invest in a property. Understanding this, along with financing strategies, helps you make smarter investment decisions.
Cash-on-Cash ROI Calculator
Enter your property income, expenses, and cash invested to calculate your Cash-on-Cash ROI.
Leverage Impact Chart
See how financing affects your ROI and risk. More leverage increases potential ROI but also increases exposure to risk.
Pros and Cons of Using Financing
- Pros: Access more bank capital, potentially buy bigger or more properties, increase potential ROI.
- Cons: Adds risk, monthly mortgage obligations, interest costs, and potential negative cashflow if rent drops or vacancies occur.
How MyDoorsPro Helps
With MyDoorsPro, you can instantly calculate Cash-on-Cash ROI, visualize leverage scenarios, and track dozens of metrics for every property. The platform helps investors make informed decisions while managing multiple rentals efficiently.