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Investment ROI calculator

Model the return on a property across every strategy — Buy-to-Let, HMO, Serviced Accommodation, Flip and BRRRR — with cash flow, yields, and the personal-vs-SPV tax picture.

Deal details

Sets the transfer-tax rate used in your total investment cost. Effective rates vary 0% (TX/AL/MS) to 4% (DE).

Deal Details

Standard rental property - buy, mortgage, rent out long-term

Stamp Duty: £220

Equity Created: £40,000

£50,000
25 years

Operating Costs

Market defaults — adjust to match your deal

10%
5%
2 weeks
Monthly cash flow
$173
After all expenses & mortgage
Cash-on-cash
2.49%
Net yield
2.49%
Gross yield
8.40%
Cash-on-cash return
CoC = (Annual cash flow ÷ Total cash invested) × 100
Cash-on-cash measures the return on the money you actually put in — deposit, transfer tax, legal fees and refurbishment — not the property's value. It's the number that matters most on a leveraged deal.

Monthly Cash Flow

$173

After all expenses

Cash-on-Cash

2.49%

Return on cash invested

Net Yield

2.49%

Below Average

Strategy:Buy-to-Let
Gross Yield:8.40%
Annual Cash Flow:$2,077

Investment Summary

Purchase Price$200,000
Refurb Cost$20,000
Stamp Duty$220
Legal Fees$2,000
Total Investment$83,500
Equity Created$40,000
Annual Cash Flow$2,077
Payback Period40.2 years

Analysis Tips

INFO
Always verify rental figures with local letting agents and factor in worst-case scenarios.
1% rule: 0.70% (close)
50% rule: 19% ✓
Cap rate 6.8% (stable)

Frequently asked

What's the difference between Gross and Net Yield?

Gross yield is your annual rent divided by property price - a simple headline figure. Net yield accounts for all expenses (mortgage, maintenance, insurance, voids, management) to show your actual return. Net yield is what really matters for investment decisions.

What is Cash-on-Cash Return?

Cash-on-cash return measures the annual return on the actual cash you invested (deposit + costs), rather than the property value. This is crucial for leveraged investments where you're using a mortgage. A 20% cash-on-cash return means you get back 20% of your invested cash each year.

What is the BRRRR strategy?

BRRRR stands for Buy, Refurbish, Rent, Refinance, Repeat. You buy below market value, renovate to add value, rent it out, then refinance to pull out your initial investment (or most of it). If done correctly, you can have 'infinite returns' with little or no money left in the deal.

Is HMO more profitable than standard BTL?

HMOs (House in Multiple Occupation) typically generate higher yields because you rent by the room. However, they come with higher management costs, more regulations (licensing, fire safety), and higher tenant turnover. The extra hassle may or may not be worth it depending on your situation.

How do I calculate flip profit?

Flip profit = Sale Price - Purchase Price - Refurb Costs - Stamp Duty - Legal Fees - Selling Costs - Holding Costs (mortgage, insurance while refurbing). Don't forget Capital Gains Tax on the profit if it's not your main residence!

What yield should I aim for?

This depends on your strategy and location. In London, 4-5% gross is considered good. In northern cities, 7-10%+ is achievable. For BTL, aim for positive cash flow after all expenses. For capital growth, you might accept lower yields in appreciating areas.