IF / Real Estate Investor

Calculate Cash on Cash Return Status

I need to label a deal 'Good' if the Cash on Cash return is greater than 8%, otherwise 'Pass'.

formula.xlsx
=IF(B2>0.08,"Good","Pass")

How it works: The IF function checks a condition. In this case, it checks if the Cash on Cash Return in cell B2 is greater than 0.08 (which represents 8%). If the condition is TRUE (the return is greater than 8%), it returns 'Good'. If the condition is FALSE (the return is 8% or less), it returns 'Pass'. This allows for quick categorization of investment opportunities.

Data Setup

Deal Name Cash on Cash Return
Property A 0.10
Property B 0.06
Property C 0.095
Property D 0.078
Property E 0.12

Step-by-Step Guide

1

Open your real estate investment spreadsheet in Excel.

2

Locate the column containing your 'Cash on Cash Return' percentages (e.g., Column B).

3

In an empty column next to your data (e.g., Column C), in the first data row (e.g., C2), type the formula: `=IF(B2>0.08,"Good","Pass")`.

4

Press Enter. Excel will display 'Good' or 'Pass' based on the value in B2.

5

Drag the fill handle (the small square at the bottom-right corner of cell C2) down to apply the formula to all other deals in your list.

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