Monthly Cash Flow
What you actually keep after all expenses and debt service.
Definition
The bottom line. NOI minus your mortgage payment. This is the number that hits your bank account each month (assuming no surprises). Negative cashflow means the property costs you money every month to hold.
Formula
Monthly Cashflow = NOI − Debt Service
How Kaison Uses This
The final row in the Cashflow Waterfall. Color-coded green (positive) or red (negative).
Example
$883 NOI − $1,044 mortgage = −$161/mo cashflow
Pro Tip
Negative cashflow on a BRRRR can be OK if equity position is strong and rents are rising.
Related Terms
Educational content only. Consult a CPA or attorney for advice specific to your situation.