Investment property calculator
Calculate your rental yield, cash flow, and tax implications to understand if your potential investment is positively or negatively geared.
Purchase details
$
$
$
LVR: 0%
$
%
Income & expenses
$
Annual Rent: $0
Annual Expenses
$
$
$
$
%
$
Tax & depreciation
$
Check with a Quantity Surveyor.
Please fill in all mandatory fields (marked with *)
Weekly cash flow estimate
Before Tax
$0
$0 / yr
-
After Tax
$0
$0 / yr
-
Enter details to calculate
Scenario: 100% Borrowing
Includes Purchase Price + Stamp Duty (e.g., Equity Release)
Pre-Tax (Weekly)
$0
-
Post-Tax (Weekly)
$0
-
Gross Yield
0.00%
Annual Rent / Purchase Price
Net Yield
0.00%
Net Income / Total Cost
Tax Refund Est.
$0
Annual projected benefit
Annual breakdown
Financial details
Annual Rental Income $0
Interest Repayments (Standard) $0
Property Management $0
Rates & Body Corp $0
Insurance & Repairs $0
Total Cash Deductions $0
Net Cash Flow (Pre-Tax) $0
Non-Cash Deduction (Depreciation) $0
Final Cash Flow (Post-Tax) $0
Disclaimer: This calculator is for educational purposes only and does not constitute financial advice. Assumptions include constant interest rates and full occupancy. Please consult a qualified accountant or financial adviser before making investment decisions.
Frequently Asked Questions
How is rental yield calculated?
Gross rental yield is calculated by dividing your annual rental income by the property purchase price, then multiplying by 100. For example, $30,000 rent on a $600,000 property equals a 5% yield.
What is negative gearing?
Negative gearing occurs when the costs of owning an investment property (interest, maintenance, fees) exceed the income it produces. In Australia, this loss can often be deducted from your other taxable income, potentially reducing your tax bill.
How does tax depreciation affect cash flow?
Depreciation is a non-cash deduction for the wear and tear of a building and its fixtures. You can claim this loss on tax without spending actual cash, which improves your after-tax cash flow position.
Calculations explained
1.
Weekly Averages We take annual totals and divide them by 52. Interest is estimated for Year 1.
2.
Before Tax (Operating Cash) This is your Rent minus all bills you must pay (Interest, Council Rates, Strata, Repairs, etc). It does not include principal repayments.
3.
The Tax Effect We estimate your tax refund (or bill) by applying your Tax Rate to your taxable profit/loss.
Taxable Income = Rent - Expenses - Depreciation.
Taxable Income = Rent - Expenses - Depreciation.
4.
After Tax (Money in Hand) This is the final cash in your pocket.
Formula: Before Tax Cash - Principal Repayment + Tax Refund.
Formula: Before Tax Cash - Principal Repayment + Tax Refund.
5.
100% Borrowing Scenario This assumes you borrowed the entire Purchase Price + Stamp Duty (using equity from another property). Interest costs are higher, but tax refunds are usually larger.
