When you're choosing between two or three deals, cap rate alone doesn't tell the whole story — cash-on-cash return and projected IRR over your actual hold period matter just as much. This tool runs all three side by side for up to three properties at once.

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How to read the results

Cap rate measures a property's return independent of financing — useful for comparing properties on an apples-to-apples basis. Cash-on-cash return measures your actual cash return given your specific financing. IRR (internal rate of return) goes a step further and accounts for the time value of money across your full hold period, including your eventual sale.

The property with the highest IRR isn't always the best cap rate or best cash-on-cash property — a lower cash-flowing deal in a faster-appreciating area can still win on IRR over a 5-10 year hold.

A word on the assumptions

This tool assumes your entered cash flow holds flat every year of the hold period and applies one appreciation rate to project your exit price — real deals rarely move in a straight line. Treat this as a way to stress-test and compare scenarios, not a guarantee of what any specific property will do.

Winner Realty works with buy-and-hold investors across Louisville. Tell us what you're comparing and we'll help you underwrite the real numbers.

Frequently asked questions

What hold period should I use?

Most buy-and-hold investors model somewhere between 5 and 10 years. A shorter hold weights the tool's result more heavily toward your cash flow assumptions; a longer hold weights it more toward your appreciation assumption.

Why is IRR sometimes negative or blank?

A negative IRR usually means the property doesn't return your invested cash even after the projected sale — often a sign the appreciation assumption is too conservative for the deal's cash flow, or the deal itself is cash-flow negative. Try adjusting appreciation or hold period to see how sensitive the result is.