Cash-on-Cash · Quick yield
How hard is your equity working?
A fast Year-1 cash-on-cash calculation for quick deal screens. See the leveraged vs. unleveraged yield spread and how long the cash flows take to return your equity at a few hold periods.
Cash-on-cash (before reserves)
-2.26%
Year-1 cash flow -$67,695 ÷ equity $3,000,000
Cash-on-cash (after reserves)
-3.26%
After $30,000 reserves
- Unleveraged yield (cap rate)
- 4.75%
- Leveraged yield (CoC)
- -2.26%
- Leverage spread
- -7.01%
A positive spread means leverage is accretive — debt is cheaper than the property's unlevered yield.
| Hold | Cumulative cash flow | Equity multiple |
|---|---|---|
| 5 years | -$338,477 | 0.89x |
| 10 years | -$676,955 | 0.77x |
| 20 years | -$1,353,910 | 0.55x |
Assumes constant NOI (no rent growth), no exit sale proceeds, no amortization gain. For a full return analysis, use the cash flow projection calculator.
Year-1 snapshot
- NOI
- $950,000
- Annual debt service
- $1,017,695
- Cash flow (pre-reserves)
- -$67,695
- DCR
- 0.93x