Investment Data
Includes Stamp Duty, Registration, Brokerage, and Repairs.
Total Investment
₹53.5 Lakhs
Net Profit
₹33.5 Lakhs
ROI Summary
Annualized Return (CAGR)
Total ROI
62.6%
Performance Insights
- ✅ Includes total rental cash flow
- 📊 Annualized (CAGR) benchmark
- ⚖️ Realized vs Unrealized gains
- 📈 Precise expense accounting
Growth & Income Roadmap
How your total returns accumulate through price growth and monthly rent over the holding period.
| Year | Appreciated Value | Cumulative Rent | Running ROI% |
|---|
How is Property ROI Calculated?
Total Cost: Purchase Price + Acquisition Taxes + Repairs. Check your Net Worth for the full portfolio view.
Net Gain: Current Value + Total Rent - Total Cost. For annualized growth, use the CAGR Tool.
Annualized ROI: Measures the geometric progression of your real estate wealth.
Example ROI Analysis
- Total Investment: ₹53,50,000
- Total Rent (5Y): ₹12,00,000
- Net Profit: ₹33,50,000 (25L growth + 12L rent - 3.5L costs)
- Annualized Return: 10.22% (CAGR)
The Real Cost of Real Estate: Calculating True ROI
Real estate is one of the most popular asset classes in India, but it is also the most misunderstood in terms of actual returns. Most investors only look at the "Buy Price" vs. the "Sell Price." However, a professional Property ROI Calculator must account for the "leakages" (costs) and the "bonuses" (rental income) to find the true Internal Rate of Return. For irregular cashflows, use our XIRR tool.
In 2026, with the Indian property market maturing, capital appreciation alone may not beat high-growth equities. The difference between a "good" and an "average" real estate investment lies in the rental yield. A property with a 3% rental yield and 7% appreciation provides a 10% gross return—but when you subtract costs, the real return might be lower.
The Dual Engines of Property Return
1. Capital Appreciation: This is the increase in the market price of your property over time. For accurate growth forecasting, use our Property Appreciation Tool.
2. Rental Yield: This is the recurring income you earn. If you're building a portfolio from zero, a high-yield SIP might help you accumulate the downpayment for a property faster.
Real Estate ROI vs. Other Asset Classes
How property returns stack up against standard Indian benchmarks (Estimated long-term CAGR).
| Asset Class | Expected CAGR | Risk Profile |
|---|---|---|
| Residential Real Estate | 8% - 11% | Moderate (Low Liquidity) |
| Equity Mutual Funds | 12% - 15% | High (Volatile) |
| Fixed Deposits (FD) | 6.5% - 7.5% | Low (Stable) |
How to Boost Your Property ROI?
Location Arbitrage
Instead of buying in established prime areas where prices are too high, look at developing outskirts near IT hubs. Lower entry prices often result in much higher rental yields.
Maximize Appreciation
Furnishing Boost
A fully-furnished apartment often commands a 30-50% higher rent than an empty one. For a relatively small one-time investment, you can significantly boost your recurring rental ROI.
Increase Cash Flow
Frequently Asked Questions
1. Should I include registration and stamp duty in ROI?
2. How does a home loan affect my ROI?
3. What is Unrealized ROI?
4. Does ROI include income tax?
5. Why is CAGR better than Absolute ROI?
6. What is a good real estate ROI in 2026?
7. Does maintenance affect ROI?
8. Can I use this for land/plots?
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Disclaimer
Property ROI calculations are estimates based on user inputs. Real estate markets are illiquid and volatile. Past appreciation is not an indicator of future performance. This calculator follows standard real estate ROI and CAGR formulas used by property analysts and financial planners in India.Last Updated: April 12, 2026