Calculate the Cashflow for Real Estate Investments
1. Which Input Parameters are required to calculate the Cash Flow?
- base rent (your profit),
- the ongoing operating expenses of your property:
- the none-allocatable operating costs,
- the allocation to maintenance and repair reserves,
- and the financing costs.
- optionally the one-off expenses of your property:
- maintenance and repair expenses,
- as well as your individual taxes.
2. What is the meaning of Cash Flow?
3. How do I use the Cash Flow to build Wealth?
- with a positive cash flow
- and/or the property value appreciation.