What Is Cash On Cash In SFR Investing?
Cash on cash measures return on initial investment — net cash flow after loan payments divided by initial cash invested.
Cash on Cash is a measure of return on the initial investment in a single family rental property. It is calculated as net cash flow after loan payments divided by the initial cash investment (excluding debt), serving as a key metric for evaluating rental property returns.
The information in this article is for educational purposes only and does not constitute tax, legal, financial, or investment advice. Consult a qualified professional before making investment decisions.