FICTIONAL EXAMPLE · EDIT TO EXPLOREThe renovation with a second act
Ipswich, QLD
Your numbers, your scenario. Example figures show how the tool works. These are not local market estimates. Every input below can be changed.
Cash needed at purchase$194,500Deposit + buying costs + initial worksFirst-year cash flow-$21,308After expenses and loan repaymentsYear 1 equity$243,201Estimated value less remaining debtFirst positive rental yearYear 20Operating cash flow; excludes build outlays Equity Debt
Value $852,066Debt $485,063Cash flow / year -$10,629Build cash this year $0
Nominal, pre-tax rental model. Renovation value is an assumption; growth is applied separately. Equity is not cash. Future construction is cash-funded. Interest-only principal is due at loan maturity.
Property & finance Edit the starting point
Renovation & uplift Separate improvements from market growth
Estimated cash released: $0. It increases the loan and subsequent repayments; it is not profit or guaranteed borrowing capacity.
Growth, sale & margin Your hurdle, for this strategy
Net project result$22,173
Margin on total cost2.7%
Cash from sale after debt & tax reserve$250,462
Below your 10% illustrative hurdle. Includes purchase, works, acquisition, operating, interest and selling costs; rents offset costs. Principal repayment is a transfer to equity, not a second expense. No main-residence exemption is assumed. A zero tax reserve means tax has not been allowed for. For a developer sale, enter a fully advised all-in GST/income-tax reserve and obtain a detailed feasibility.
Evidence & planning Verification needed
An evidence checkbox is your review record, not council approval.
Compare every strategy Same property, different paths
| Strategy | Initial cash | Year 1 cash flow | Sale result at year 2 | Margin on cost |
|---|
| Buy & hold | $160,000 | -$17,247 | -$31,469 | -4.0% |
| Renovate & hold | $194,500 | -$21,308 | $22,173 | 2.7% |
| Live in & renovate | $194,500 | -$46,018 | -$36,308 | -4.4% |
| Rooming / high yield | $263,500 | -$15,773 | -$2,820 | -0.3% |
| Add dwellings | $160,000 | -$17,247 | -$31,469 | -4.0% |
Options depend on different end-value and rent assumptions. Future dwellings only apply when enabled, or in Add dwellings. None is a verified development permission.
What still needs checking
- Illustration only — this is not an available property.
- Planning potential is unverified. Check the property, zone, overlays and approval pathway.
- Works are cash-funded at purchase; no construction loan is modelled.
Deal Snapshot receives the starting loan, completed rent/value and initial costs. This workspace retains the timeline, future works and refinance assumptions.