Investments: Projections
Financial Projections
| 2 bed | 3 bed | |
Gross Revenue |
£22,855 | £33,382 |
Management Revenue |
£9,412 | £13,353 |
Gross Owner Revenue |
£13,713 | £20,029 |
Service Charge (central facilities provision) |
£1,702 | £1,702 |
Net Owner Revenue |
£12,011 | £18,327 |
Initial Investment (cost of cottage) |
£247,500 | £302,500 |
Stamp Duty |
£2,475 | £9,075 |
Total Cost |
£249,975 | £311,575 |
First Year Net Owner Revenue |
£12,011 | £18,327 |
Net Yield |
4.85% | 6.00% |
Annual Interest (75% loan at 6%) |
£11,138 | £13,613 |
Opportunity Cost (6 weeks use of cottage) |
£2,979 | £3,915 |
IAFC (Income After Financing & opportunity Costs) |
£3,852 | £8,629 |
Equity (25% of initial investment) |
£61,875 | £75,625 |
Return on Equity |
6.23% | 11.40% |
Revenue based on 65% occupancy.
Illustrative only. This does not constitute a formal offer and will be subject to terms and conditions and formal contract.
