A property investment calculator that gives you the 7 figures and answers you need so you know whether you should invest in a property or not.

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The property investment calculator, shown above, gives you the 7 key numbers you need to know when analysing a potential investment, forecast over 10 years.

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It's essential to recognise that the numbers shown in this property investment calculator are averages only. The figures shown will not be the same every single week that you hold the property. You will need to weather the ups and downs over the market.

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However, knowing these averages will give you the confidence to hold over time.

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To make the property investment calculator simple to use, we've included assumptions about the investment, like:

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• That the purchase price of the property is the same as the value of the property. This may not always be the case. For instance, if you can purchase a property for less than its registered valuation.

• That the mortgage used to secure the property will be interest only, rather than principal and interest. This will decrease the mortgage repayment and improve the cash flow position of the property.

• That the interest rate on the mortgage is 2.5%

• That there will be $3,500 of set-up costs. This would be spread across legal expenses, a valuation and a chattel valuation

• That rates will be 0.48% of the property's value in the first year (increasing at the rate of inflation), and that insurance will cost 0.3% of the property's value in the first year

• That a property manager will be used and will cost 7% +GST of the rent

• That you will use a property investment accountant, who will charge $1000+GST in the first year

• That the property will have 3 weeks vacancy per year, which means that you will only receive rent for 49 weeks in the year. This is a conservative assumption. The effect of this is that you will see a more negative picture in the figures than may actually be the case

• Inflation is at 2% per year, which means that the rent and non-mortgage expenses will increase at 2% per year