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Cash Flow
The total net amount you will receive from a rental vehicle as income. Cash flow accounts for all sources of income and all expenses, including loan payments if you are using financing. How Is It Calculated? With Financing: Cash Flow = NOI - Loan ...
Post-Tax Profit
The total net profit you will receive from a flip after subtracting the estimated income tax. How Is It Calculated? Post-Tax Profit = Total Profit * (1 - Income Tax Rate)
Cash on Cash Return (COC)
A rate of return of a rental vehicle based on comparing the yearly cash flow to the total invested cash. The cash on cash return represents the yearly return you will receive on your invested capital. How Is It Calculated? COC = Yearly Cash Flow / ...
Total Cash Needed
The total amount of cash you will need to purchase and rehab a property. How Is It Calculated? With Financing: Total Cash Needed = Loan Down Payment + Purchase Costs + Rehab Costs Without Financing: Total Cash Needed = Purchase Price + Purchase Costs ...
Return on Investment (ROI)
A rate of return of a transaction based on comparing the total profit from your investment to the total invested cash. For a rental vehicle, the ROI takes into account the cumulative cash flow, equity accumulation and loan paydown and gives the total ...