Property Financing Estimator

Estimate purchase costs, stamp duty, LMI, mortgage payments, and investment cash flow including tax, HECS, and Medicare calculations.

Property & Purchase

Purchase Cost Assumptions

Funding Sources

Loan Details (main loan)

Rental Property Assumptions

Annual Cost Assumptions

Depreciation Assumptions

Applicant Income

Purchase Summary

Total cost of the property (Established Price + Land + Construction + Site Costs).Total Property Price$580,000
Base Loan Amount plus Capitalised LMI. This is the total debt outstanding.Loan Amount$464,000
Lender application fee.Bank App Fee$1,000
Legal/conveyancing costs for the purchase.Conveyancing$2,000
Miscellaneous purchase costs.Sundries$2,000
Sum of Transfer Duty (after concessions), Surcharges, and Registration Fees.Total Govt Costs$13,999
Total LMI Premium plus Stamp Duty on LMI. Capitalised into the loan — not a separate cash cost.LMI (capitalised into loan)$0
Total Package Price plus Total Purchase Costs. This is the total cash needed for settlement.Total to Fund$598,999
There is a shortfall in Funding Sources to be rectified.

Illustrative Cash Flow Estimate (Year 2)

Weekly Rent multiplied by 52, less the Rental Vacancy Rate.Annual Rent$37,492
Weekly Rent multiplied by 52, less the Rental Vacancy Rate.Net Rent (after vacancy/mgmt)$32,993
Total interest cost for Year 2 on the main mortgage.Annual Interest$24,872
Total of all non-interest, non-principal operating costs (e.g., rates, fees, maintenance).Annual Costs$0
Total non-cash deductions — Div 43 Capital Works + Div 40 Plant & Equipment. See the 10-year schedule below.Depreciation (Year 2)$12,674
Div 43: $6,300  |  Div 40: $6,374

Estimated Monthly Cashflow

Annual Rental Income minus Operating Expenses, Annual Interest, AND Depreciation. This is the total taxable gain or loss (Taxable Income).Taxable Income (property)$-4,553
Total Tax Before Property minus Total Tax After Property. If positive (green), this is your annual tax refund from negative gearing.Tax Refund from Property$1,458
Pre-Tax Annual Cash Flow plus Total Annual Tax Benefit/Cost. This is the property's true net holding cost/gain for the year (excluding principal).After-Tax Cash Flow (annual)$9,579
After-tax cashflow excluding principal repayments. Positive = positively geared, negative = negatively geared.Net monthly cashflow (excl. principal)$798
Principal repayments reduce your loan balance and build equity — they are wealth accumulation, not an expense. Included here to show total bank account impact.Monthly Principal (all loans)$553
True monthly impact on your bank account: after-tax cashflow minus all principal repayments across every loan.True monthly out-of-pocket$245
10-Year Cashflow Projection
YearNet RentTotal InterestAnnual CostsDepreciationTaxable IncomeTax RefundAfter-Tax CFMonthly CFTrue OOP/mo
Year 1$32,032$25,225$0$2,947$3,860$-1,236$5,571$464$-59
Year 2$32,993$24,872$0$12,674$-4,553$1,458$9,579$798$245
Year 3$33,983$24,500$0$10,951$-1,468$470$9,953$829$245
Year 4$35,002$24,107$0$9,741$1,155$-370$10,526$877$260
Year 5$36,052$23,691$0$8,878$3,483$-1,114$11,247$937$286
Year 6$37,134$23,253$0$8,253$5,628$-1,800$12,081$1,007$319
Year 7$38,248$22,790$0$7,794$7,664$-2,452$13,006$1,084$357
Year 8$39,395$22,301$0$7,453$9,642$-3,086$14,009$1,167$400
Year 9$40,577$21,784$0$7,195$11,598$-3,712$15,081$1,257$446
Year 10$41,794$21,239$0$7,000$13,556$-4,338$16,218$1,351$496

Assumptions: Rent grows at 3% p.a. Council rates grow at 7% p.a. (property-value-linked). Insurance, maintenance, body corporate, and other costs grow at 2.5% p.a. (CPI). Depreciation from ATO schedule. Tax brackets held at Year 1 rates. "True OOP/mo" = after-tax monthly cashflow minus monthly principal repayments across all loans.

10-Year Equity Projection
YearProperty ValueTotal DebtGross EquityEquity from GrowthEquity from Principal
Year 1$620,600$457,715$162,885$40,600$6,285
Year 2$664,042$451,077$212,965$84,042$12,923
Year 3$710,525$444,068$266,457$130,525$19,932
Year 4$760,262$436,665$323,597$180,262$27,335
Year 5$813,480$428,846$384,634$233,480$35,154
Year 6$870,424$420,589$449,834$290,424$43,411
Year 7$931,353$411,869$519,484$351,353$52,131
Year 8$996,548$402,660$593,888$416,548$61,340
Year 9$1,066,306$392,935$673,372$486,306$71,065
Year 10$1,140,948$382,663$758,284$560,948$81,337

Assumptions: Property value grows at 7% p.a. (capital growth). Debt balances are amortised based on each loan's rate and term. IO loans maintain their balance during the interest-only period. Equity from Principal = initial total debt minus remaining debt.

10-Year Depreciation ScheduleDiv 43 + Div 40  ▼
YearDivision 43 — Capital Works allowance at 2.5% p.a. on 90% of construction cost for up to 40 years.Div 43Division 40 — Plant & equipment at 20% diminishing value on 70% of the Div 40 allocation.Div 40 StandardLow-Value Pool — 30% of Div 40 value. 18.75% in Year 1 (full rate, not pro-rated), 37.5% in subsequent years.Div 40 PoolTotal
Year 1$846$526$1,575$2,947
Year 2$6,300$3,815$2,559$12,674
Year 3$6,300$3,052$1,600$10,951
Year 4$6,300$2,441$1,000$9,741
Year 5$6,300$1,953$625$8,878
Year 6$6,300$1,563$391$8,253
Year 7$6,300$1,250$244$7,794
Year 8$6,300$1,000$153$7,453
Year 9$6,300$800$95$7,195
Year 10$6,300$640$60$7,000

Assumptions: Asset value split 90% Div 43 / 10% Div 40. Div 40 split 70% Standard (DV 20% p.a.) / 30% Low-Value Pool (18.75% Y1, 37.5% thereafter). Year 1 Div 43 and Standard are pro-rated by days held from settlement to 30 June. LVP Year 1 rate is not pro-rated per ATO rules.

Notice:

These calculators and estimators serve as general guides and are intended for illustrative use only. These calculators do not constitute financial, credit, taxation or investment advice. Because details may be incomplete or subject to change, these calculators, estimators and print version should not be treated as definitive sources of truth. The findings are generated from data provided by you and variables from external sources and assumptions used within the calculators. As such, this information can change frequently and may not always be current. You are responsible for confirming the accuracy, relevance, and completeness of these data points as they pertain to your specific situations. We provide no guarantees regarding the precision of the outputs of any calculators or estimators. Results should be treated as illustrative only and verified with appropriate professional advice. We accept no liability for any loss, damage, or consequence resulting from your reliance on the information they provide.

Property Financing Estimator

13 March 2026
House & Land / New BuildVICINV
Property Details
Property TypeNew Build
StateVIC
Purchaser TypeINV
Vacant Land$300,000
Construction$280,000
Total Property Price$580,000
Purchase Cost Assumptions
Contract Date2026-03-13
LVR80%
Loan Amount (base)$464,000
Transfer Duty$13,070
Transfer Fee$804
Mortgage Fee$126
Total Govt Costs$13,999
LMI (capitalised)$0
Bank App Fee$1,000
Conveyancing$2,000
Sundries$2,000
Total to Fund$598,999
Funding Sources
Main Loan$464,000
Deposit (Savings)$45,000
Total Funds$509,000
Shortfall / Surplus-$89,999
Loan Details
Loan Term30y (360 months)
Loan TypeP&I
P&I Rate5.47%
Monthly Payment$2,626
Weekly Payment$606
Rental Property Assumptions
Weekly Rent$700
Annual Rent (wk × 52)$36,400
Vacancy2.0% ($728)
Mgmt Fees8.0% ($2,912)
Letting Fees2.00% ($728)
Net Rent (after vacancy/mgmt)$32,032
Capital Growth %7.0%
Rental Growth % (projections)3.0%
Annual Cost Assumptions
CPI % (projections)2.5%
Council Rates$0 grows @ cap. growth
Insurance$0
Water & Sewer$0
Maintenance$0
Total Annual Costs$0
Depreciation Assumptions
Settlement Date2026-05-12
Asset Value (Construction Cost)$280,000
Low-Value PoolEnabled
Div 43 (Year 1)$846
Div 40 (Year 1)$2,101
Total Depreciation (Year 1)$2,947
Applicant Income & Tax
ResidencyResident
App 1 Ownership50% / App 2: 50%
App 1 MLSNo  |  App 2 MLS: No
App 1 Salary$120,000
App 1 Property Income$1,930
App 1 Total Income$121,930
App 1 Tax (salary only)$29,188
App 1 Tax (with property)$29,806
App 1 Tax Saving$-618
App 2 Salary$80,000
App 2 Property Income$1,930
App 2 Total Income$81,930
App 2 Tax (salary only)$16,388
App 2 Tax (with property)$17,006
App 2 Tax Saving$-618
Total Tax (salary only)$45,576
Total Tax (with property)$46,812
Tax Refund from Property$-1,236
Investment Projection — Year 1 Cashflow
Annual Rent (gross)$36,400
Gross Rent (after vacancy/mgmt/letting)$32,032
Annual Interest$25,225
Annual Costs$0
Depreciation (Year 1)$2,947
Div 43 / Div 40$846 / $2,101
Taxable Income (property)$3,860
Tax Refund from Property$-1,236
After-Tax Cash Flow (annual)$5,571
Net monthly cashflow (excl. principal)$464
Total Monthly Payments (all loans)$2,626
Monthly Interest (all loans)$2,102
Monthly Principal (all loans)$524
True monthly out-of-pocket$-59
10-Year Depreciation Schedule
YearDiv 43Div 40 StdDiv 40 PoolTotal
Year 1$846$526$1,575$2,947
Year 2$6,300$3,815$2,559$12,674
Year 3$6,300$3,052$1,600$10,951
Year 4$6,300$2,441$1,000$9,741
Year 5$6,300$1,953$625$8,878
Year 6$6,300$1,563$391$8,253
Year 7$6,300$1,250$244$7,794
Year 8$6,300$1,000$153$7,453
Year 9$6,300$800$95$7,195
Year 10$6,300$640$60$7,000
10-Year Cashflow Projection
YearNet RentTotal InterestAnnual CostsDepreciationTaxable IncomeTax RefundAfter-Tax CFMonthly CFTrue OOP/mo
Year 1$32,032$25,225$0$2,947$3,860$-1,236$5,571$464$-59
Year 2$32,993$24,872$0$12,674$-4,553$1,458$9,579$798$245
Year 3$33,983$24,500$0$10,951$-1,468$470$9,953$829$245
Year 4$35,002$24,107$0$9,741$1,155$-370$10,526$877$260
Year 5$36,052$23,691$0$8,878$3,483$-1,114$11,247$937$286
Year 6$37,134$23,253$0$8,253$5,628$-1,800$12,081$1,007$319
Year 7$38,248$22,790$0$7,794$7,664$-2,452$13,006$1,084$357
Year 8$39,395$22,301$0$7,453$9,642$-3,086$14,009$1,167$400
Year 9$40,577$21,784$0$7,195$11,598$-3,712$15,081$1,257$446
Year 10$41,794$21,239$0$7,000$13,556$-4,338$16,218$1,351$496

Rent grows at 3% p.a. Council rates at 7% p.a. CPI costs at 2.5% p.a. Tax brackets held at Year 1 rates. True OOP/mo = monthly cashflow minus monthly principal.

10-Year Equity Projection
YearProperty ValueTotal DebtGross EquityEquity from GrowthEquity from Principal
Year 1$620,600$457,715$162,885$40,600$6,285
Year 2$664,042$451,077$212,965$84,042$12,923
Year 3$710,525$444,068$266,457$130,525$19,932
Year 4$760,262$436,665$323,597$180,262$27,335
Year 5$813,480$428,846$384,634$233,480$35,154
Year 6$870,424$420,589$449,834$290,424$43,411
Year 7$931,353$411,869$519,484$351,353$52,131
Year 8$996,548$402,660$593,888$416,548$61,340
Year 9$1,066,306$392,935$673,372$486,306$71,065
Year 10$1,140,948$382,663$758,284$560,948$81,337

Property value grows at 7% p.a. Debt balances amortised per each loan's rate and term. IO loans maintain balance during interest-only period.

Notice: These calculators and estimators serve as general guides and are intended for illustrative use only. These calculators do not constitute financial, credit, taxation or investment advice. Because details may be incomplete or subject to change, these calculators, estimators and print version should not be treated as definitive sources of truth. The findings are generated from data provided by you and variables from external sources and assumptions used within the calculators. As such, this information can change frequently and may not always be current. You are responsible for confirming the accuracy, relevance, and completeness of these data points as they pertain to your specific situations. We provide no guarantees regarding the precision of the outputs of any calculators or estimators. Results should be treated as illustrative only and verified with appropriate professional advice. We accept no liability for any loss, damage, or consequence resulting from your reliance on the information they provide.

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