Cash-on-cash return

A cash-on-cash return is a rate of return often used in real estate transactions that calculates the cash income earned on the cash invested in a property. Put simply, cash-on-cash return measures the annual return the investor made on the property in relation to the amount of mortgage paid during the same year. It is considered relatively easy to understand and one of the most important real estate ROI calculations—Read more at Investopedia. Kenton, Will. “Cash-on-Cash Return Definition.” 22 July 2019.