re: If you had a million dollars to invest

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How do you figure your ROI on a rental? Say you purchase at $100,000 and rent for $1,000.00/ month. You don't start positive ROI until house is paid for in 8.3 years. If it appreciates then great but where is the great return on RE? Not being obtuse, I just don't see it when you consider taxes, upkeep and risk.

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sorry I should have clarified. COC return. That is the great return. Those are the percentages i gave you. COC return and PCF is what matters. every expense is accounted for in PCF.
Those are the best two metrics to use. You want a good COC return and a good PCF. I am not quite sure why you are not grasping this. it is all in the numbers game. You need to find good deals, have good rents, run expenses, see what amount you want to put down and see what the PCF would be on an average basis. Depends on what PCF number you want to hit relative to what you want to spend on the deal. I have my own minimum numbers for certain price points. you take PCF and divide by cash invested and that gives you the COC return. see link below.

LINK