18 January 2007

Investment Properties That Aren't: Wembley Square

Reader FS sent us this 1 bedroomed apartment in Wembley Square with an asking price of R950 000 (although that's negotiable). It's not mentioned in the ad but FS claims it rents out for R3500 a month with a R750 monthly levy bringing you a net income of R2750. What's your ROI?












Down PaymentMonthly Cash FlowROI
R95000R-7267-92%
R190000R-6154-39%
R285000R-5041-21%
R380000R-3928-12%
R475000R-2815-7%
R570000R-1702-4%
R665000R-589-1%
R760000R5241%
R855000R16372%
R950000R27503%


3% max ROI? No wonder he's selling.

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