rent - cost (loan,tax, mgmt fee, insurance) / total cash invested. It is a rough estimation.
For example
270000 | ||
Rent | $ 2,650.00 | 180000 |
4.75% | ||
Loan | $ 938.97 | 90000 |
pool cost | ||
hoa | ||
insurance | $ 40.00 | |
tax | $ 281.25 | |
mgr fee | $ 159.00 | |
cost | $ 1,419.22 | |
repair | 15000 | |
Profit | $ 1,230.78 | |
Net return | 14.07% | . |
Gross | 15.88% |