FullCalculator

Property ROI Calculator

Total Property ROI

Calculate comprehensive property ROI including all income sources

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Annual Return Breakdown

Break down annual returns from a rental property

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Formula

Total ROI = (Appreciation + Rental Income + Principal Paydown - Selling Costs) / Cash Invested x 100

Frequently Asked Questions

How do you calculate ROI on real estate?
Total property ROI considers four components: appreciation (property value increase), cash flow (net rental income), principal paydown (equity gained from mortgage payments), and tax benefits. ROI = Total Return / Cash Invested x 100.
What is a good ROI on real estate?
A good total ROI on real estate is typically 10-20% annually when including all return components. Cash-on-cash returns of 8-12% are considered good for rental properties. Location, leverage, and management quality heavily influence returns.
What is return on equity in real estate?
Return on equity measures your annual total return against the equity you have in the property. As your equity grows through appreciation and paydown, you may want to refinance or sell if your return on equity drops below alternative investment returns.

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