Cashflow and Compounding

Using your personal financial statement

Building your PFS

9. Property investors could also break up their property asset and the investment loan (if a loan has been used).

Our example shows a property worth $400,000 providing $12,000 rental income (after expenses).

The investment loan is $300,000 with interest at 7%. This works out to $21,000 per annum.

(To learn more about investments and gearing, go to the Investments and Debt Management and Leverage modules.)