Still Investing? Here's How To Calculate Real Estate Rates of Returns

Good morning, Winston! These is a great post that will definitely help homeowners. Thanks for sharing this!

Winston- Unless you're an accountant or have done a lot of real estate investing, I'd bet there are a lot of would-be investors who will welcome this information. 

Thanks for the info, I have copied and pasted it to a Word document and saved it on my computer.

I'm with Bill, we need to calculate IRR. This gives an investor the ability to compare to other types of investments over a period of time. My fulcrum point is 7 years. Speaking of CDPE and CIAS, I am here in Austin n with Alex Charfen for a two day conference on entrepreneurialism.

Thanks - I needed this!

Thanks for sharing the formulas, important for all of us to be familiar with these and a few more.

Quick & handy.  Thank  you and now this is bookmarked.

Winston Heverly simple terminology - however, all investors should 'learn' it (I know some of them know and some are just new to the world of investment.)

Very good Winston. A great reminder of the basic math that all real estate agents should know - especially if you do commercial. Maybe one day I'll share my secret ROI calculation for residential investment properties.

Proof that there is a lot to consider in the world of finances and gains

Good information to have access to in a simple to understand format. Copied and filed.

Very few people understand the numbers involved in real estate investing or the importance of leverage. 

Hi Winston Heverly Great information and reference for income producing properties. I find many of these are used as bench marks and driven by market conditions..i.e.. CAP rate is Different for Lenders than what buyers and sellers look for, in our market many still look for price per suite

Winston, this is a wonderful summary of the basics! I'm going to bookmark this post for clients.

Winston Heverly this is a great chart, I just shared with my agents wishing to learn about rates of return!  greatly appreciated!

Amazing isn't it, that many Realtors aren't knowledgeable about these calculations? Great post.

Winston, this is a great post.  The post simply and succinctly breaks it down for even ME!  LOL

Thank you!  I appreciate your simplicity and have bookmarked your post!

This is useful not only for investors, but commercial brokers as well! I would like to expand into that market in the new year or two!

This is a great reference sheet to have.  Thanks for posting it :).