Cap rate
Cap rate (capitalization rate) = a property's yearly net operating income ÷ its price, as a %. It's the unleveraged annual return if you paid all cash. Higher = more income per dollar of price. Rough guide: 4–5% is low (pricey market), 7–9%+ is strong cash flow.
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How CashFlowRE uses it
CashFlowRE computes Cap rate on every for-sale listing and folds it into each property's overall score, so you can compare deals at a glance instead of running the math by hand. Create a free account to see it on real listings.