READING THE FILE
01What catches the eye
This fictional apartment ticks several boxes: a defined neighbourhood, reassuring condition and assumed rent of €1,050 monthly. The €240,000 asking price does not tell the full story.
02What the project costs
Our example enters €35,000 costs and €15,000 works. These are educational assumptions, not tax rates or quotes. Capital committed reaches €290,000.
03What the calculation reveals
One vacant month and €2,800 annual owner expenses give €8,750 net before tax and financing. Debt service of €900 monthly means €10,800 annually: cash flow remains negative in this simulation.
04The decision still needs preparation
Review price, financing and cash reserve. A negative result is not a universal verdict; it describes an effort that must be understood and affordable.
Total cost€290,000
Net before tax and financing3,02 %
Cash flow before personal tax-€171 / month
Reconsider the financing
Read property returns separately from your financing balance.
The remaining questions
- Is the assumed rent documented?
- Are co-ownership expenses allocated correctly?
- What monthly contribution fits your requirements?
