Posted by camgere on May 02, 2007 at 09:44:41:
I would include it. Down payment is by far and away the largest one time expense, but I would throw all the other one time purchase expenses in there as well. If you had to spend it to get going, include it. For another opinion:
Note the phrase “amount of cash invested”.
Cash on cash return isn’t a particularly good metric as it ignores time and effort it took to find the deal. Think about it. 0 down deals have infinite cash on cash return, but could take 50 hours of your time to complete. 50 hours of your time is worth something.