This modul is very helpful in calculating the total profit of a property for the owner. There are two sources of income: rental and profit on selling the real estate. We also include, in the calculation, all types of costs such as insurance costs or taxes.

Assumption of the model:
  • grey cells contains data, which cannot be modified
  • white cells contains data, which can be modified
  • red figures with (-) mean costs to the owner of the property
  • green figures mean income to the owner of the property
  • black figures mean neutral items such as interest rate
  • period of the bank mortgage is equal to the investment period, after which the property will be sold, max 45 years
  • monthly payments of the loan, as well as rentals, are fixed – for the purpose of model transparency
Please contact us and we will explain all the details

Profit calculator

Rate of return on property investment Regular property
Distressed property
Info
Size of the property in sq metres    Square metres Search-16x16
Calculation factor    Square metres Search-16x16
Size of the property in sq feet    Square feet Search-16x16
Price of the property per sq metre    Currency/Square metres Search-16x16
Price of the property per sq foot    Currency/Square feet Search-16x16
Property acquisition cost    Currency Search-16x16
Distressed property discount  %  % Search-16x16
Property acquisition cost after discount    Currency Search-16x16
Difference between prices after discount    Currency Search-16x16
Percent of year unoccupied  %  % Search-16x16
Number of periods per year     Search-16x16
Average monthly rental per sq foot    Currency/Square foot/month Search-16x16
Rental amount of the property per month    Currency/month Search-16x16
Rental per year    Currency/year Search-16x16
Down payment in percentage  %  % Search-16x16
Down payment in cash    Currency Search-16x16
Amount of loan at the beginning    Currency Search-16x16
Amount of loan at the end     Search-16x16
Interest rate per year  %  % Search-16x16
Interest rate per month  %  % Search-16x16
Period of loan - in years     Search-16x16
Period of loan - in months     Search-16x16
Payment monthly, principal/interest    Currency/month Search-16x16
Payment annually, principal/interest    Currency/year Search-16x16
Annual insurance cost    Currency/year Search-16x16
Average annual taxes in percent  %  % Search-16x16
Annual taxes    Currency/year Search-16x16
Annual repair budget    Currency/year Search-16x16
Annual management fee in percent    % Search-16x16
Annual management fee    Currency/year Search-16x16
Total annual costs    Currency/year Search-16x16
Net income of the property    Currency/year Search-16x16
Rental yield  %  % Search-16x16
Net income after discount of distressed property    Currency/first year Search-16x16

Rate of return on the rental

 %  % Search-16x16
 
Regular property
Distressed property
Info
Property value increase per year  %  % Search-16x16
Period of investment – in years     Search-16x16
Sell price    Currency Search-16x16
Inflation rate  %  % Search-16x16
Real value of resale price    Currency Search-16x16
Value of net income of the property    Currency Search-16x16
Total cash after selling the property    Currency Search-16x16
Return on investment  %  %/investment period Search-16x16
Return on investment per year  %  %/year Search-16x16