This report offers a thorough picture of Heritage’s apartment property investment, including the acquisition price, remodelling costs, rental revenue, and return on equity (ROE).

Heritage paid €45,000 for the property and experienced extra charges, including €3,100 in taxes and €765 in legal fees.

The home was renovated for a total of €5,000 and was furnished for €2,694.

Management and legal costs amounted to €3,600.

Heritage spent a total of €53,559 on the acquisition and refurbishment of the home.

The flat has a monthly rent of €350, for a total yearly rental revenue of €4,200.

After subtracting management costs, net rental revenue is €3,000 per year. The estimated return on equity (ROE) for Heritage’s investment is 8.7%. Divide the net rental revenue by the amount spent to arrive at this figure. As a result, Heritage obtained a 5% yearly return on investment.

Heritage’s condominium property investment proved successful, as the ROE surpasses the predicted rate. Despite the original investment and subsequent administrative costs, net rental income offers a consistent yearly revenue stream. This investment demonstrates Heritage’s capacity to deliver consistent profits in the real estate market. Heritage should continue to evaluate the operation of the property, including rental demand, maintenance expenses, and any market swings.

As a result, customers can optimise their investments and make educated choices to improve profits even more.