The Definition of Cash Flow in Real Estate
Cash Flow Definitions
There are multiple definitions of cash flow used throughout the investing world. This can make it disorienting as a new investor. We will share all the various definitions and then the one that we use.
- The accounting definition
- The Robert Kiyosaki definition
- The Freedom Family Definition
Our Definition
Cash flow is a vital metric, so you see it in all of our property listings. The definition of cash flow we are using can be expressed as an equation.
Rent – Mortgage = Cash Flow