“What is a typical return on investment?” –Suzette of Burien, WA
Return on investment can be looked at a couple of different ways. The most popular method that we as real estate investors like to view these returns is by cash on cash. How much cash do I have to outlay and how much can I get back. On a short to mid-length flip using leverage typically you are making a 15%-20% cash on cash return. If a flip takes an average of about six months you are having a 30%-40% cash on cash return annually. If you are paying cash for your property your annual return will be more like 15-20%.
