Property Comparison Calculator
Side-by-side · ROI · Cash flow · Cap rate · Winner
🏠 Property A
Mortgage + tax + ins + maintenance
🏢 Property B
Mortgage + tax + ins + maintenance
Same % applied to both
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Property A CF/Mo
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Property B CF/Mo
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Property A CoC
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Property B CoC
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Winner
About This Calculator
The Property Comparison Calculator puts two investment properties side by side so you can make a data-driven decision. Comparing properties on a single metric like cash flow misses the full picture — this tool evaluates cash flow, cap rate, cash-on-cash return, and total ROI simultaneously.
Key insight: a cheaper property with lower rent can outperform a more expensive property with higher rent if the return on invested capital (cash-on-cash) is stronger. Always compare percentage returns, not just absolute dollar amounts.
Consider factors beyond the numbers too: location quality, tenant demand, maintenance age, and local market trends all influence long-term performance.
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Frequently Asked Questions
How do I choose between two investment properties?▼
Compare on percentage returns (cash-on-cash, cap rate, total ROI) rather than absolute dollars. A $200K property earning 10% COC beats a $400K property earning 6% COC — you could buy two of the first and earn more. Also consider location quality, appreciation potential, and management complexity.
Is cash flow or appreciation more important?▼
Depends on your strategy. Cash flow provides immediate income and financial security. Appreciation builds long-term wealth. Ideally, choose markets that offer both. If forced to choose: beginners should prioritize cash flow (it's predictable); experienced investors in strong markets may accept low cash flow for high appreciation.
What is cash-on-cash return and why does it matter?▼
Cash-on-cash return = Annual Cash Flow ÷ Total Cash Invested × 100. It measures the actual return on your out-of-pocket investment (down payment + costs). It's the most practical metric for comparing properties because it accounts for your specific financing terms.
Should I consider property management costs in my comparison?▼
Yes, always. If you plan to self-manage, you save 8–10% of rent but invest significant time. If you'll hire a manager, factor that cost in. A property that cash flows well with a manager is more sustainable than one that only works if you self-manage indefinitely.
How important is appreciation in property analysis?▼
In primary markets (NYC, LA, SF), appreciation often drives most of the return — sometimes 70%+ of total profits. In secondary and tertiary markets, cash flow dominates. Match your strategy to your market and don't rely on appreciation projections — treat it as upside, not the base case.
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