How to Be A Super Property Investor by Nilesh H. Gohil - HTML preview

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Return On Investment (ROI) or Cash-on-Cash Return

ROI reveals the profit you have made over a 12 month period as a percentage of the money you have invested in your property.
This is the formula used to calculate the Return On Investment.

Cash)Flow
ROI)%)=)))))))))))))))X)100
Cash)Invested

ROI is the percentage of return, cash flow is the gross annual rent minus costs such as void periods, maintenance costs and mortgage repayments. The cash you have invested is the deposit and legal costs paid together with any other fees you may have paid in the purchase.

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How to Be A Super Property Investor by Nilesh H. Gohil - HTML preview

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