Avg Purchase Price
AED 1.7M
Year 1 Net Rental
AED 89K
5-Yr Cumulative
AED 482K
Total 5-Yr Return
43.5%
Year-by-Year Cash Flow
Year 1
AED 76,000
Year 2
AED 79,000
+3.9% YoY
Year 3
AED 82,200
+4.1% YoY
Year 4
AED 85,500
+4.0% YoY
Year 5
AED 89,000
+4.1% YoY
Return Components
Rental Cash Flow (5 years)AED 482K
Property Appreciation (14.0%)AED 238K
Total ProfitAED 720K
Total Return %43.5%
Key Assumptions
•Rental growth: 2-3% annually based on market trends
•Operating costs: 15% of gross rent (maintenance, agent fees, vacancy)
•Appreciation: 14.0% over 5 years (historical average)
•Hold period: Full 5 years with exit at appreciated value
•Transaction costs: Not included in calculations (assume 5-7% exit costs)
Property Types in downtown dubai
| Type | Price | Year 1 Net | 5-Yr Total | Return % |
|---|---|---|---|---|
| 1BR | AED 1.4M | AED 76K | AED 412K | 45.8% |
| 2BR | AED 2.0M | AED 102K | AED 552K | 41.3% |