Internal Rate Of Return (IRR) Calculator & Usage
An internal rate of return (IRR) is a calculation investors use to determine the likely rate of growth of capital (as it relates to both time and yield) for a particular commercial real estate investment opportunity.
MIRR: Modified Internal Rate of Return in Commercial Real Estate
IRR, or internal rate of return, is one of the most important financial metrics in commercial real estate investing. However, in many cases, a variation of IRR, called MIRR, or modified internal rate of return, can actually tell us more about the profitability of a commercial real estate investment, especially if we are considering that an investor may be reinvesting the cash from one CRE investment into other properties (or other types of investments).