Investment property worked example*

Based on £100,000 purchase price.


Property currently Valued at £125,000

Place deposit of £20,000

Take on Mortgage of £80,000

Based on average 5% capital growth in 10 years property will have a value £203,611

Based on average 30 weeks rental at £350 per week then in 10 years the £80,000 mortgage will have been paid off.

End result is a property worth over £200k and an income of over £10,000 per annum.

* Example based on current rates of interest at 3.9%