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ROI & ROCE Calculator
See how hard your money is working: cash-on-cash ROI, return on capital employed and how long until your cash pays back.
- Cash-on-cash
- ROCE
- Payback time
Indicative only. Built from published rules and the figures you enter; we do not guarantee accuracy or completeness, and this is not tax, legal or financial advice. Check with a qualified professional before relying on it. How accurate is this?
Our take
ROI shows how hard your cash works, and ROCE shows how good the property is
Cash-on-cash ROI divides a year’s net profit by the cash you actually put in, while ROCE divides it by all the capital deployed including the loan, so one deal gives two answers to two different questions.
A high ROI on a thin deposit can look impressive and hide a fragile deal, because borrowing magnifies a bad year as much as a good one, so read it next to the monthly cashflow.
The classic mistake is leaving costs out, when refurbishment, buying fees, voids, management and the cost of finance all belong either in the cash you put in or in the profit you keep.
Use the payback period as a check on your own patience, and when a deal clears your hurdle, a deal pack lets a partner or lender follow the sums.
Our opinion, based on the official sources named above: general guidance, not regulated advice and not a forecast. We earn from OfferCheck reports and from introducing sellers to cash buyers, so weigh it with that in mind (see our disclosure). We are not authorised or regulated by the FCA.
A 12.0% cash-on-cash return, paying back your cash in 8.3 years.
ROI (cash-on-cash)
12.0%
ROCE (capital employed)
2.4%
Payback period
8.3 yrs
This calculator is for guidance only and does not constitute financial, tax, mortgage or investment advice. Figures are estimates, always seek professional advice and verify costs before committing to a purchase.
ROI & ROCE: common questions
- What is cash-on-cash ROI?
- Cash-on-cash ROI is your annual net profit divided by the actual cash you put in (deposit, costs and refurb). It tells you how hard your own money is working, separate from any mortgage.
- How is ROCE different?
- Return on capital employed divides profit by all the capital deployed, including the borrowed money, so it reflects the return on the whole asset, not just your cash. Both numbers are useful: ROI for leverage, ROCE for the underlying asset.
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