Well, maybe something with a 3% return in an A-class neighborhood.

I have been looking for a good rental property for some time but with the condition of the current market,  rentals with 2% return are not easily found in my area anymore.

I am wondering how do I calculate the cash on cash return?  

I am a huge believer in actually renting them to get the best return. 

I analyze properties based on cap rate and cash-on-cash return, have you considered those tools? 

I use the P&I payments on the upb to calculate my annualized return on a reperforming note, but I use the estimated payoff to calculate my overall net profit should the loan payoff early or go to foreclosure. 

Also, since my cash on cash return is not stellar, should I just pick my percentage of return and just work backwards to figure out my max offer?

Obviously for someone that invests in RE all the time, a 10% return on a 90% LTV loan will not be enough juice for them.

I figure that since the Chinese are getting rich off of us, we can at least get rich off of them in return.

And first name is not RAM as in Random Access Memory it should be pronounced rAAm. ;-)Cheers!