Cash-on-Cash Return

Cash-on-cash return measures the annual cash yield on the actual dollars an investor has committed to a property — including down payment, closing costs, and renovation. If you put $120,000 cash into a property that throws off $12,000 of pre-tax cash flow a year, your cash-on-cash return is 10%.

Unlike cap rate, cash-on-cash accounts for leverage. A well-structured mortgage can turn a 5% cap-rate property into a 12%+ cash-on-cash return. It's the metric most investor-focused lenders and investors actually track.

Why it matters for Milo customers

For Milo DSCR borrowers, cash-on-cash return is the headline performance metric on a rental property. A 100% LTV crypto-backed structure inflates cash-on-cash dramatically by minimizing the cash invested upfront.

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