Hi,
Silly question, but how do you work out what the return is on a property. For eg.
Purchase price - $245,000
Rent - $250/wk (so do i multiple this by say 47wks of the year, allowing for time it's not rented?) = $250 x 47 = $11,750
Rates/BC - $3,360 per annum
So -
$11,750 - $3,360 = $8390 / $245,000 * 100 = 3.4%
Is that right? Anything else I should be doing?
thanks
Penny
Silly question, but how do you work out what the return is on a property. For eg.
Purchase price - $245,000
Rent - $250/wk (so do i multiple this by say 47wks of the year, allowing for time it's not rented?) = $250 x 47 = $11,750
Rates/BC - $3,360 per annum
So -
$11,750 - $3,360 = $8390 / $245,000 * 100 = 3.4%
Is that right? Anything else I should be doing?
thanks
Penny