Appreciation the rise in the property's market value over time. Where it's taught Real-Estate Investing: Cap Rate, Cash Flow, and the Magic (and Menace) of Leverage Try it with a calculator Real Estate Calculator Appears in 2 other lessons Stocks: Price, Dividends & What 'Total Return' Really MeansRent vs Buy: It's a Break-Even, Not a Battle Related terms Cap rateCash-on-cash returnLeverageNOI (Net Operating Income)Positive / negative leveragePrincipal paydown