Insights

Four checks before assessing a rental property

A neutral framework for net costs, rent evidence, condition, vacancy and risk.

Published 6 November 2021

Updated September 2026. This is general due diligence, not tax, legal, financing or investment advice.

Assess a rental property from net evidence

  1. Calculate acquisition, financing, tax, maintenance and agency costs using current rules.
  2. Use evidence-based rent and vacancy assumptions for the exact property type and area.
  3. Inspect condition, lease, restrictions and repair exposure.
  4. Stress-test rates, vacancy, rent reductions and exit costs.

Use net yield, not gross rent alone. Avoid assumptions based on tenant ethnicity or unsupported demographic generalisations. Flipping, capital appreciation and a guaranteed tenant pool are not reliable outcomes. Obtain qualified advice for the exact transaction.