Will this property pay for itself?
Cash-on-cash · IRR · breakeven · 10-year total return. Numbers, not narrative.
Four numbers, built from your own assumptions.
This calculator turns your deal assumptions into four outputs: cash-on-cash return (your Year 1 cash yield on the cash you actually put in), IRR at your chosen selling year (the annualized return across the whole hold, including the eventual sale), breakeven year (when cumulative cash flow recovers your initial outlay), and total return (net profit in cash terms). Every input above is yours to change — the numbers only mean what you tell them to mean.
The sensitivity table below shows how much your IRR moves if rent or appreciation come in higher or lower than you assumed — useful for stress-testing a deal before you commit, not just accepting the base case at face value.
Sera 1 · Rashid Yachts & Marina (Emaar) · 1BR 757 sqft.
All fields are your own assumptions — not market guarantees. Adjust every input for your deal.
Too complex to calculate yourself? Talk to a professional →
If rent ± / appreciation ±, what’s the IRR?
| Apr −2% | Apr −1% | Apr base | Apr +1% | Apr +2% | |
|---|---|---|---|---|---|
| Press “Recalculate” to compute | |||||
What 1BR in Rashid Yachts & Marina (Emaar) actually does, line-by-line.
Illustrative only — these are the pre-filled default assumptions, not a guaranteed outcome. Verify all figures with us before investing.
| Property price (1BR, 757 sqft, unit RY Sera 1 A-2-209) | AED 2,114,888 |
| Down payment 30% | AED 634,466 |
| Closing costs (DLD 4% + agent 2%) | AED 126,893 |
| Total cash in | AED 761,359 |
| Annual rent (Year 1 — user assumption in calculator above) | AED 137,468 |
| Service charges (20 AED/sqft × 757 sqft) | −AED 15,140 |
| Vacancy 8% + ops costs | −AED 25,997 |
| Mortgage payments (25y, 4.5%, AED 1.480M loan) | −AED 98,744 |
| Net annual cash flow | −AED 2,413 |
| Cash-on-cash year 1 | −0.3% (appreciation-driven; typical Tier-1) |
| Sale year 7 @ 6%/yr appreciation (user assumption) | AED 3,180,010 |
| Total return 7y (cash + capital) | AED 1,185,080 · IRR ≈ 14.3% |
IRR uses the standard formula: discounting all cash flows (negative initial outlay, positive yearly net + final sale proceeds) to find the rate that makes NPV = 0. Cash-on-cash = annual cash flow / total cash in. Appreciation assumed constant year-on-year (real markets are lumpier). Service charges + vacancy modelled at first-year rates with no escalation. Mortgage = standard amortizing payment over term. We don’t model property tax (UAE has none on individual ownership) but do model 4% DLD transfer fee. Inflation not modelled separately — appreciation already in nominal terms.
FAQ · ROI CALCULATOR
Common questions about this ROI model.
What does "Cash-on-cash" mean?
Your Year 1 net cash flow (rent minus service charges, vacancy, ops costs, and mortgage payments) divided by your total cash in (down payment plus closing costs). It measures the return on the actual cash you put in, not the full property value.How is IRR calculated?
The standard formula: discounting every cash flow — your initial outlay, each year's net cash flow, and the final sale proceeds — to find the single rate that makes their net present value equal zero.What does this model NOT account for?
Appreciation is assumed constant year-on-year (real markets move in cycles, not straight lines). Service charges and vacancy are held at first-year rates with no escalation. We don't model property tax — the UAE has none on individual ownership — but do model the 4% DLD transfer fee. Inflation isn't modelled separately; appreciation is already expressed in nominal terms.Is the appreciation rate guaranteed?
No — it's your own assumption, not a market forecast. Change it and re-run the sensitivity table above to see how much your IRR depends on that one number.What closing costs does the worked example assume?
4% DLD transfer fee plus a 2% agent fee — 6% of the property price in total, added to your down payment as part of the initial cash outlay.
All figures are your assumptions — not market guarantees. Verify with us before investing. This calculation is approximate and does not constitute a guaranteed return. Actual figures depend on bank terms, prevailing rental rates, and market conditions at the time of purchase. If you switch currency, please reload the page and re-enter your figures to ensure an accurate result.
Want a second opinion on this deal?
Run the numbers with us before you commit. We’ll sanity-check your assumptions against real comparable deals and flag anything that looks off — no fee for the conversation.
Talk to a professional →