Explanation
Positive monthly cash flow is what carries the property through vacancies, capex events, and recessions.
Formula
Cash Flow = Rent − (Operating Expenses + Debt Service)
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Real Estate Term
Net income after all expenses and debt service.
Reviewed by Keiron Brown, Founder & Editor, CalculateRealEstateROI · Educational estimates only — not investment, financial, tax, or legal advice
Positive monthly cash flow is what carries the property through vacancies, capex events, and recessions.
Cash Flow = Rent − (Operating Expenses + Debt Service)