Understanding ROI (Return on Investment) is key to evaluating your property’s financial performance. It shows you how profitable your investment is over time.

• Step 1: Calculate net annual income (rental income – expenses).
• Step 2: Calculate total investment (purchase price + improvements).
• Step 3: Apply the formula:
  ROI = (Net Income ÷ Total Investment) × 100

This helps you decide whether to keep, sell, or improve your asset.