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equations. That is to say estimated income and credibility of the equations should be sound. The more such equations are used, the more complete the overall return on investment assessment is likely to be. An example of a free online real estate return calculator can be found at the following link.

http://www.frontdoor.com/ tools/calculators/return_on_in vestment.aspx

To summarize the above, calculating return on real estate revenue is essentially a simple task. However, this simple task is complicated by the multiple and ongoing costs and sources of cost reduction associated with the ownership of a property. For this reason, sound bookkeeping and awareness of all the variables can be of great benefit to accurately assessing the real return on a property. The many costs and expenses of property are sometimes overlooked when making the investment return calculation in addition to overlooking the potential reductions to capital gains such as maintenance costs and environmentally friendly renovations that may incur a significant tax credit translatable into gain from ownership of property before the property is even sold.

Sources:

http://athenianlo ans.com/Tax_Effects.html
t.com/ article/27644/calculate_the_re turn_on_your_real_estate.html
h ttp://www.HousesUnderFiftyThou sand.com/due-diligence-checkli st.html
http://ezinearticles.co m/?Say-Goodbye-To-The-Gross-Re nt-Multiplier&id=303508
http:// www.associatedcontent.com/arti cle/27644/calculate_the_return _on_your_real_estate.html?page =3
http://www.community-newspap ers.com/archives/lgwt/20060222 /lgperkins.shtml

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