Secrets of ROI versus Return on Equity

Secrets of ROI versus Return on Equity

Update: 2025-07-11
Share

Description

Learn the secrets of return on investment and return on equity in Oakland.



This class is Module 43 of 46 in a series called Real Estate Investing Secrets.



Topics covered in this module include:




  • The 4 primary returns from rental properties and the additional area of return

  • The Return Quadrant™ with Reserves

  • Why measuring past returns is easy, but predicting future, pro-forma returns are more challenging and nuanced

  • The more speculative, more market-dependent returns on rental properties

  • The less speculative, more certain returns on rental properties

  • The cash now returns on rental properties and the cash later, wealth-building returns on rental properties

  • Measuring returns in dollars and as a return on investment

  • Where to see these returns on our deal analysis spreadsheet

  • Why the return when you buy a property becomes less important the longer you own a property… and what to do about it

  • It’s not just the return on equity… but this too

  • What stays the same and what changes between return on investment and return on equity

  • Where to see return on investment over time on our spreadsheet

  • What tends to happen to return on investment over time, the longer you own a rental property

  • What tends to happen to return on equity over time, the longer you own a rental property

  • What do many investors do about that phenomenon

  • Equity is not real… I prove it to you

  • What is real: introducing True Net Equity™

  • Equity versus True Net Equity™

  • Where to see True Net Equity™ on our spreadsheet

  • The cost-to-access True Net Equity™

  • Using True Net Equity™ when considering selling or refinancing a property

  • Plus much more...



Check out the video and additional resources related to Secrets of ROI versus Return on Equity.



Free Real Estate Deal Analysis Spreadsheet: Download a copy of the newest version of The World's Greatest Real Estate Deal Analysis Spreadsheet™ by going to:

https://RealEstateFinancialPlanner.com/spreadsheet

Improve Cash Flow: Book a consultation to improve cash flow using our proprietary 88 cash flow improving strategies.

Real Estate Agent & Lender Collaborators: Interested in collaborating with us on the Oakland real estate investor podcast? Book a free consultation to discuss.

Comments 
00:00
00:00
x

0.5x

0.8x

1.0x

1.25x

1.5x

2.0x

3.0x

Sleep Timer

Off

End of Episode

5 Minutes

10 Minutes

15 Minutes

30 Minutes

45 Minutes

60 Minutes

120 Minutes

Secrets of ROI versus Return on Equity

Secrets of ROI versus Return on Equity

James Orr