Investor Tools · ROI Calculator

What's your real return, after financing?

Set your purchase price, closing costs, financing terms, rent and operating costs to see unlevered cap rate, cash-on-cash return, total ROI and a simple cash-payback period — in THB or USD. Unbiased, no paid placement.

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Property ROI calculator — price, rent, fees, taxes & financing

A levered rental-property return model: set your purchase price, closing costs, financing and operating assumptions, then see unlevered cap rate, cash-on-cash return, total ROI (including principal paydown) and a simple cash-payback period. Nothing here is a market quote — every figure is yours to set.

฿6,000,000

Closing costs & upfront cash:

4%
฿0

Financing:

30%
6.5% p.a.
20 yrs

Rental income & operating costs:

฿30,000
8%
8%
5%
฿0
฿0
Down payment (30%)฿1,800,000
Closing costs (4%)฿240,000
Total cash invested฿2,040,000
Loan amount฿4,200,000
Monthly mortgage payment฿31,314/mo
Annual gross rent฿360,000
Vacancy + operating expenses฿75,600
Net operating income (NOI)฿284,400
Annual debt service฿375,769
Annual cash flow (after financing)฿-91,369
Cash-on-cash return-4.48%
Unlevered cap rate (on price)4.74%
Total ROI (cash flow + year-1 principal paydown)0.71%
Simple cash-payback period
How to read this

Cap rate measures return on the full purchase price, ignoring financing — useful for comparing properties on an apples-to-apples basis. Cash-on-cash return measures return on the cash you actually put in (down payment plus closing costs and any renovation), after subtracting mortgage payments — the number that matters if you're financing the purchase. Total ROI adds back the year-one principal you paid down through your mortgage, since that portion builds equity even though it left your bank account. On the numbers above, ฿2,040,000 of cash produces ฿-91,369 a year in cash flow after financing — a -4.48% cash-on-cash return, or 0.71% once principal paydown is included.

Estimates only, from the figures you enter — not financial, investment, tax or legal advice, and not a substitute for a licensed accountant, mortgage broker or appraiser. Thai transfer fees, taxes and mortgage terms vary by property, lender, ownership structure and buyer nationality (foreign buyers typically cannot get a Thai mortgage on a condo and often finance via a home-country loan or lender-in-home-country product) — confirm current rates and eligibility before committing capital. USD figures use a live mid-market reference rate and will differ from your bank or transfer service. BAANLYY never takes paid placement.

By Kirby Scofield
Founder of BAANLYY · International real estate broker, investor & relocation specialist
01

Why leverage changes the math

A property's cap rate is fixed by its price and net operating income alone, but almost no one actually pays 100% cash. Once you finance part of the purchase, your real return depends on the spread between the cap rate and your mortgage rate — borrow at a lower rate than the property yields, and leverage amplifies your cash-on-cash return above the unlevered cap rate. Borrow at a higher rate, and leverage works against you. This calculator shows both numbers side by side so you can see exactly how much of your return is coming from the deal itself versus from financing.

02

Cash-on-cash versus total ROI

Cash-on-cash return only counts money that actually lands in your bank account each year. It ignores the portion of every mortgage payment that pays down principal — money you don't see as cash flow, but that increases your equity in the property just the same. Total ROI adds that first-year principal paydown back in, giving a fuller (if slightly more optimistic) picture of your real annual return on the cash you invested.

03

What this calculator deliberately doesn't do

It doesn't assert a market purchase price, rent, mortgage rate or closing-cost percentage — every figure is yours to set, ideally sourced from an actual listing, lender quote or licensed professional. It doesn't model property appreciation, exit costs, Thailand's full progressive tax system or double-taxation treaties, and it isn't financial, investment, tax or legal advice, or a substitute for a licensed accountant, mortgage broker or appraiser. Treat the output as a directional planning tool, then bring in the right professionals before committing capital.

04

Frequently asked

What's the difference between cap rate and cash-on-cash return?Cap rate divides net operating income by the full purchase price, ignoring how the deal is financed — it's the standard way to compare properties on an apples-to-apples basis regardless of leverage. Cash-on-cash return divides annual cash flow (after mortgage payments) by the cash you actually put in — down payment, closing costs and any renovation. If you're financing the purchase, cash-on-cash is the more relevant number for your actual return on the money you invested.
What is 'total ROI' in this calculator?Total ROI adds your year-one mortgage principal paydown to your annual cash flow before dividing by cash invested. Principal paydown builds equity even though the money left your bank account as part of the mortgage payment, so it's a real component of return that cash-on-cash alone doesn't capture. Total ROI will always be higher than cash-on-cash return whenever you're using financing, since some of every mortgage payment goes to principal rather than interest.
Can foreign buyers get a mortgage for a Thai condo?Rarely, and not from most Thai banks — foreign nationals typically cannot obtain a standard Thai mortgage on a condominium unit the way Thai nationals can. Most foreign buyers either pay cash, use financing from a bank in their home country, or use a developer's in-house payment plan during construction. If you plan to model financing in this calculator, make sure the loan terms you enter reflect a realistic source of financing for your specific situation, not a generic Thai mortgage rate.
What closing costs should I actually expect in Thailand?Thailand's standard transfer fee is 2% of the appraised (not necessarily the sale) price, split by custom between buyer and seller though this is negotiable. On top of that, either a 3.3% specific business tax (if held under 5 years) or a 0.5% stamp duty (if held over 5 years) applies, plus a small withholding tax, and typically legal and agent fees on top. This calculator's single 'closing costs' slider is a simplified combined estimate — for a precise, itemized breakdown by payer, use our dedicated purchase-cost calculator linked below.
Does this calculator account for Thai property or rental income tax?Only in a simplified way, via the optional investor income tax toggle, which applies a flat rate you set to net operating income. It does not model Thailand's actual progressive personal income tax brackets, corporate structures, land and building tax, or double-taxation treaty effects for foreign investors — all of which can meaningfully change your real after-tax return. Confirm your actual tax position with a licensed Thai accountant before relying on this figure.
Why does the calculator show a payback period even when cash flow is negative?It doesn't — if annual cash flow after financing is zero or negative, the payback period shows as unavailable, since a property that doesn't produce positive cash flow never recoups the initial cash invested from operations alone (you'd be relying entirely on appreciation or principal paydown over a much longer, less certain horizon). A negative cash flow at your assumed rent and financing terms is a signal to revisit your purchase price, down payment or rent expectations, not to trust an infinite payback figure.
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General information only — not financial, investment, tax or legal advice, and not a substitute for a licensed accountant, mortgage broker or appraiser. Purchase prices, rents, closing costs, financing terms and tax rules vary by property, lender and buyer situation, and change over time; always confirm current figures with licensed professionals before committing capital. USD figures use a live mid-market reference rate and will differ from your bank or transfer service. BAANLYY never takes paid placement in editorial content.