Real Estate property basics

Appraising the profitability of any potential property correctly is essential. You need to be able to work out if the property you wish to buy is going to leave you with a profit at the end. Over the next few pages will explain some of the methods used to assess profit or loss on each property.

This article covers the below

Click on each to read

– How to calculate Gross Rental Yield

• How to calculate Net Rental Yield

• Understand the principles of Gearing

• How to calculate Return On Investment (ROI) or Cash On Cash Return

• How to calculate Loan To Value

• How to calculate Equity

• How to calculate Rental Cover

• Understand Gazumping

• Understand Gazundering

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