Hi all,
I'm doing calculations for a property I'm looking to buy. The current rental yield is 4.5%. For the purposes of my calculations I'm assuming a 5% capital growth each year.
How would you calculate increases to rental yield? Do they generally grow in line with the value of the property (5%) or in line with inflation (2-3%)?
The property is 4,2,2 10kms from Beisbane CBD.
Calculating long term rental yield
I'm doing calculations for a property I'm looking to buy. The current rental yield is 4.5%. For the purposes of my calculations I'm assuming a 5% capital growth each year.
How would you calculate increases to rental yield? Do they generally grow in line with the value of the property (5%) or in line with inflation (2-3%)?
The property is 4,2,2 10kms from Beisbane CBD.
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