| Down Payment | Monthly Payment | Cash flow | Annual Income | ROI |
|---|---|---|---|---|
| R0 | R6476.00 | R-3526.00 | R-42312.01 | |
| R57000 | R5828.40 | R-2878.40 | R-34540.81 | -60.60% |
| R114000 | R5180.80 | R-2230.80 | R-26769.61 | -23.48% |
| R171000 | R4533.20 | R-1583.20 | R-18998.41 | -11.11% |
| R228000 | R3885.60 | R-935.60 | R-11227.21 | -4.92% |
| R285000 | R3238.00 | R-288.00 | R-3456.01 | -1.21% |
| R342000 | R2590.40 | R359.60 | R4315.19 | 1.26% |
| R399000 | R1942.80 | R1007.20 | R12086.40 | 3.03% |
| R456000 | R1295.20 | R1654.80 | R19857.60 | 4.35% |
| R513000 | R647.60 | R2302.40 | R27628.80 | 5.39% |
| R570000 | R0.00 | R2950.00 | R35400.00 | 6.21% |
Break even with R340 000 down? 6.21% rental yield when paying in cash? And that's before maintenance and vacancy.
3 comments:
6.21 % return pa and that's before you take into account inflation. So you real growth(if you believe the "inflation" number) is 6.21 minus 5.5%. 0.7% above inflation. Not great. In order for your investment to beat inflation you need to get above inflation rental income increases in the next years. AND if you declare the income taxable, you've got to prove that your expenses exceed your income or part of that income goes to the taxman.
What amazes me is that people actually make these investments.
You have got to be joking!
Almost 600K for 29 squares.
And the seller (Agent?) has the temerity to call this an 'investment'!!! A sucker born every minute I suppose.
No more space for “Amateur Property Investors” & Speculators.
With current indicators the best advise for the Amateur Property Investor & Speculator is to get out of the market and let the professionals do their job.
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