Platform · Glossary
Capital.
The total cash you commit to a deal at acquisition. Sometimes called equity-in. It includes the down payment, closing costs, and any make-ready spend required to get the property rentable.
Capital = Down payment + Closing costs + Make-ready
Why this matters more than price
Returns are computed against the capital you actually committed, not the property's price tag. A $300,000 property bought with 25% down ($75K) plus $8K closing and $12K make-ready required $95,000 of capital. If it produces $9,500 of annual cash flow, the cash-on-cash return is 10% — not the 3.2% you'd get dividing by the full price.
3Y reports use capital, not price, as the denominator for cash-on-cash and similar return metrics. The price-based version flatters deals that need heavy capital to stabilize.