Leverage Profit Calculator
Estimate profit and return on equity when combining a down payment with borrowed leverage at an expected ROI.
Model profit when you add borrowed capital
Leveraged investing combines your equity with borrowed funds so a smaller down payment controls a larger position. Enter your down payment, the leverage you plan to use, and an expected return on the total capital to see projected gross profit and return on equity.
This calculator focuses on a simple gross-profit scenario before financing costs. For trading margin math, see the Crypto Leverage Calculator or the Financial Leverage Ratio Calculator.
Frequently Asked Questions
How is gross profit calculated?
Total capital equals your down payment plus borrowed leverage. Gross profit applies your expected ROI percentage to that combined amount.
What is return on equity?
It is gross profit divided by your down payment, expressed as a percentage. Leverage magnifies this figure when returns are positive.
Does this include interest on the loan?
No. Subtract financing costs separately when you model real estate, margin loans, or other leveraged products.