Internal Rate of Return
The honest annualized rate
IRR is the rate that makes a deal's future cash flows equal its initial cost, which makes it the fairest way to compare investments that pay out at different times. This calculator models your cash outlay, an annual cash flow, and the net proceeds at sale, then solves for the internal rate of return.
Browser-only estimate
The rate that discounts to zero
Enter your cash outlay, steady annual cash flow, net sale proceeds, and holding period. The IRR updates as you type.
The cash you put in up front: down payment, closing, and rehab. Treated as the outflow in year zero.
A healthy long-term Florida rental with appreciation often lands in the 8% to 14% IRR range, depending on the market, leverage, and the exit. IRR is a comparison tool: the higher the better, all else equal.
Internal rate of return
13.7%
- Total cash flow over hold
- $48,000
- Cash flow + sale proceeds
- $213,000
- Multiples your outlay by
- 1.78x
Estimated over a 5-year hold with a constant $9,600 annual cash flow.
Model a Real DealGet the real numbers
Bring your numbers to a free strategy call
This is a browser-only estimate to help you plan. Michael “Wiz” Wisniewski pairs the math with real lender quotes, current tax and insurance figures, and a plan that fits your goals. No obligation, no pressure.
This is a browser-only estimate using a simplified, constant annual cash flow. Real cash flows vary year to year.
IRR assumes you can reinvest at the same rate, which may not hold in practice.
Wiz models the year-by-year numbers on a strategy call before you underwrite a deal.