Chapter 6
Investment and tax
Cash flow, returns, basis and gain
An explorable chapter on real estate investment math: cash flow before taxes, cash-on-cash return, adjusted basis and capital gain, and the home-sale exclusion.
- 6.1Cash flowWhat is left after the mortgage
- 6.2Return on the cash investedCash flow over cash in
- 6.3Basis and gainWhat you net minus what you have in it
- 6.4Selling a home$250,000 or $500,000 tax-free
- 6.5A rental's year, and its saleRent in, expenses and the mortgage out, then basis and gain

