ROI ESTIMATION
Case Study: Property investment and tourist rental
In this analysis, we calculate the Return on Investment (ROI) for your real estate property, focusing on rental income potential through short-term platforms like Airbnb or Booking.com. The ROI is based on three occupancy scenarios—best, normal, and worst case—considering factors like high and low season rates, platform fees, and maintenance costs.
The final ROI results are:
- Best case: 8.00%
- Normal case: 6.67%
- Worst case: 5.45%
These percentages represent the annual return relative to your total investment. For example, in the best case, it would take about 12.5 years to fully recover your initial investment (100 / 8), while in the normal case, it would take 15 years (100 / 6.67), and in the worst case, 18.35 years (100 / 5.45). This helps you understand the time frame to recoup your money based on different rental market conditions.