Portfolio Return Calculator

Measuring Property Investment Returns

Property returns come from multiple sources — capital growth, rental income, tax benefits, and principal paydown. Looking at just one metric (like yield) doesn't tell the full story. Total return combines all sources to show how your investment is really performing. This calculator brings everything together so you can see the annualised return across your entire portfolio.

Capital Growth vs Rental Yield

Inner-city properties tend to have lower yields but higher capital growth. Regional properties often have higher yields but lower growth. The right balance depends on your strategy — capital growth builds long-term wealth, while yield provides cash flow. A balanced portfolio might include both, and this calculator lets you see how each property contributes to your overall return.

How Does Property Compare to Other Investments?

The advantage of property is leverage — you can borrow 80% of the value, meaning a 5% property price increase is a 25% return on your deposit. This leverage effect makes property returns hard to compare directly with shares or cash. The benchmark comparison above shows how your portfolio stacks up against the ASX 200 (~8% p.a.), term deposits (~4.5% p.a.), and inflation (~3.5% p.a.) — but remember that property returns are amplified by leverage in a way that these benchmarks are not.