Variables

Value
Description
300000 Property Purchase price
10% Deposit on loan

Name
P
Deposit

Values from RBA article (colour coded to data on right):

r
3.3 Real interest rate
c
1.5 Running costs
s(buying only)
7.3 Transaction cost
d
1.1 Depreciation of structure
pi
2.4 Capital appreciation
rent yeild
4.2 rent yeild

Yearly break down of income/expenses and assets/liabilities:

Annual income/expense
P
Value of
property

Year
0
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28

300000
307200
314573
322123
329853
337770
345876
354177
362678
371382
380295
389422
398768
408339
418139
428174
438450
448973
459749
470783
482081
493651
505499
517631
530054
542775
555802
569141
582801

c
Running
cost

r
Loan interest
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910

4500
4608
4719
4832
4948
5067
5188
5313
5440
5571
5704
5841
5982
6125
6272
6423
6577
6735
6896
7062
7231
7405
7582
7764
7951
8142
8337
8537
8742

29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50

596788
611111
625777
640796
656175
671923
688050
704563
721472
738788
756519
774675
793267
812306
831801
851764
872206
893139
914575
936525
959001
982017

8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910
8910

8952
9167
9387
9612
9843
10079
10321
10568
10822
11082
11348
11620
11899
12185
12477
12776
13083
13397
13719
14048
14385
14730

assets/liabilities:
Annual income/expense
s
Transaction
cost
21900
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

d
Structure
depreciation
3300
3379
3460
3543
3628
3715
3805
3896
3989
4085
4183
4284
4386
4492
4600
4710
4823
4939
5057
5179
5303
5430
5560
5694
5831
5971
6114
6261
6411

Total
pi
annual
Capital
rent yeild cash flow
appreciation
7200
7373
7550
7731
7916
8106
8301
8500
8704
8913
9127
9346
9570
9800
10035
10276
10523
10775
11034
11299
11570
11848
12132
12423
12721
13027
13339
13659
13987

12600
12902
13212
13529
13854
14186
14527
14875
15232
15598
15972
16356
16748
17150
17562
17983
18415
18857
19309
19773
20247
20733
21231
21741
22262
22797
23344
23904
24478

-26010
-3995
-3877
-3756
-3632
-3506
-3376
-3243
-3107
-2968
-2825
-2679
-2530
-2377
-2220
-2059
-1895
-1726
-1554
-1377
-1197
-1012
-822
-628
-429
-226
-17
196
415

Loan
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000

0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

6565
6722
6884
7049
7218
7391
7569
7750
7936
8127
8322
8521
8726
8935
9150
9369
9594
9825
10060
10302
10549
10802

14323
14667
15019
15379
15748
16126
16513
16910
17315
17731
18156
18592
19038
19495
19963
20442
20933
21435
21950
22477
23016
23568

25065
25667
26283
26913
27559
28221
28898
29592
30302
31029
31774
32536
33317
34117
34936
35774
36633
37512
38412
39334
40278
41245

639
868
1102
1343
1589
1841
2099
2363
2634
2911
3194
3485
3782
4087
4399
4718
5045
5380
5723
6074
6434
6802

270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000
270000

Totals
Amount
invested
56010
60005
63882
67638
71270
74776
78152
81395
84502
87470
90295
92974
95504
97881
100100
102160
104054
105781
107335
108712
109909
110921
111743
112371
112800
113025
113042
112846
112431

Assets
30000
37200
44573
52123
59853
67770
75876
84177
92678
101382
110295
119422
128768
138339
148139
158174
168450
178973
189749
200783
212081
223651
235499
247631
260054
272775
285802
299141
312801

Gain
-26010
-22805
-19309
-15515
-11417
-7006
-2275
2783
8176
13912
20000
26448
33264
40458
48039
56015
64396
73192
82414
92070
102172
112731
123756
135260
147254
159750
172760
186295
200369

Return on
investment (total)
-46%
-38%
-30%
-23%
-16%
-9%
-3%
3%
10%
16%
22%
28%
35%
41%
48%
55%
62%
69%
77%
85%
93%
102%
111%
120%
131%
141%
153%
165%
178%

Return on
investment
(annualised)
#DIV/0!
-38%
-16%
-8%
-4%
-2%
0%
0%
1%
2%
2%
2%
3%
3%
3%
3%
3%
3%
3%
3%
3%
3%
3%
3%
4%
4%
4%
4%
4%

111793
110925
109823
108480
106891
105050
102951
100588
97955
95044
91850
88365
84583
80496
76097
71379
66334
60953
55230
49156
42722
35920

326788
341111
355777
370796
386175
401923
418050
434563
451472
468788
486519
504675
523267
542306
561801
581764
602206
623139
644575
666525
689001
712017

214995
230186
245955
262316
279284
296873
315098
333974
353517
373743
394668
416310
438684
461810
485704
510385
535873
562186
589344
617369
646279
676098

192%
208%
224%
242%
261%
283%
306%
332%
361%
393%
430%
471%
519%
574%
638%
715%
808%
922%
1067%
1256%
1513%
1882%

4%
4%
4%
4%
4%
4%
4%
4%
4%
4%
4%
4%
5%
5%
5%
5%
5%
5%
5%
6%
6%
6%

Sum inve
800000
700000
600000
500000
$

400000
300000
200000
100000
0

Shares
Assets
51900
56571
61662.39
67212.01
73261.09
79854.58
87041.5
94875.23
103414
112721.3
122866.2
133924.1
145977.3
159115.3
173435.6
189044.8
206058.9
224604.2
244818.5
266852.2
290868.9
317047.1
345581.4
376683.7
410585.2
447537.9
487816.3
531719.8
579574.5

Amount
invested
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900

10

Gain
0
4671
9762
15312
21361
27955
35141
42975
51514
60821
70966
82024
94077
107215
121536
137145
154159
172704
192919
214952
238969
265147
293681
324784
358685
395638
435916
479820
527675

Return on
7%
6%
5%
4%
%

3%
2%
1%
0%
0

10

4500000
4000000
3500000
3000000
2500000
$

2000000
1500000
1000000
500000
0

2500000
$

2000000
1500000

631736.3
688592.5
750565.8
818116.8
891747.3
972004.5
1059485
1154839
1258774
1372064
1495549
1630149
1776862
1936780
2111090
2301088
2508186
2733923
2979976
3248174
3540509
3859155

51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900
51900

579836
636693
698666
766217
839847
920105
1007585
1102939
1206874
1320164
1443649
1578249
1724962
1884880
2059190
2249188
2456286
2682023
2928076
3196274
3488609
3807255

1000000
500000
0
-500000 0

10

Sum invested and assests verses years

0000

0000

0000

0000
Amount invested

0000

Assets

0000

0000

0000
0
0

10

20

30

40

50

60

Years

Return on investment (ROI) verses years

%
Return on
investment
(annualised)

%
0

10

20

30

40

50

60

Years

Gain verses years

0000

0000

0000

0000

0000

Real estate gain

0000

Shares gain

0000

0000

0000
0

0000

Real estate gain

0000

Shares gain

0000

0000

0000
0

0000 0

10

20

30
Years

40

50

60

Amount invested
Assets

Return on
investment
(annualised)

Real estate gain

Shares gain

Real estate gain

Shares gain

Name
P
Deposit
Time span
Current house value
Next house value

Variables
Value
Description
300000 Property Purchase price
20% Deposit on loan
7 Years to next buy
350000
520000

Values from RBA article (colour coded to data on right):

Inflation
2.8 Annual inflation
r
3.3 Real interest rate
c
1.5 Running costs
s(buying only)
7.3 Transaction cost
d
1.1 Depreciation of structure
pi
2.4 Capital appreciation
rent yeild
4.2 rent yeild
RBA
Personal
Current house value at end time
499089
460576
Next house value at end time
741504
684285
Interest paid
90269
54671
Value gained in wait
17855
962