The Property Podcast - TPP452: Total Return Formula – the ultimate calculation for smart investors

TPP452: Total Return Formula – the ultimate calculation for smart investors

11/11/21 • 25 min

1 Listener

There’s been over 450 episodes of The Property Podcast, but until now, we’ve not revealed the secret formula that investors NEED to be aware of.

In the past, Rob & Rob have told you all about net yield and return on investment (ROI), and how using these can show you how profitable your investments have been - and will be in the future.

But there’s an important factor that neither of these consider.

That’s capital growth.

That’s a big thing to miss out, especially since capital growth is usually the biggest return you’ll get. It’s one of the main factors we consider when sourcing deals for our Property Hub Invest clients.

The new formula, called the ‘Total Return Formula’, takes capital growth into account.

Listen as Rob & Rob explain how to use this formula, as well as how to best predict capital growth for future investments.

In the news

And this week’s big news is actually a notable lack of news!

Specifically, about how there was no increase in interest base rates announced last week.

It was predicted that they’d rise from 0.1%-0.25%, but this move wasn’t taken.

What do Rob & Rob think this means for the property market?

Hub Extra

We’ve got a great book for you this week, and it’s about something that almost everyone on earth has engaged with in one way or another – Instagram!

‘No Filter: The Inside Story of Instagram’ by Sarah Frier.

This one’s different from the other books about the origins of social media channels, because it’s not solely focussed on controversy.

Instead, it zeroes in on how this brand-new platform went from something small to something that has impacted not just app-users, but businesses and the world at large.

We’re big supporters of thinking big, and the story of Instagram is a prime example of that.

Let’s get social

We’d love to hear what you think of this week’s Property Podcast over on Facebook, Twitter or Instagram. You might even have a topic you’d like us to cover in the future - if so, pop us a message on social and we’ll see what we can do.

Make sure you’ve liked and subscribed to our YouTube channel where we upload new content every week!

If that wasn’t enough, you can also join our friendly property community on the Property Hub forum.

See omnystudio.com/listener for privacy information.

There’s been over 450 episodes of The Property Podcast, but until now, we’ve not revealed the secret formula that investors NEED to be aware of.

In the past, Rob & Rob have told you all about net yield and return on investment (ROI), and how using these can show you how profitable your investments have been - and will be in the future.

But there’s an important factor that neither of these consider.

That’s capital growth.

The new formula, called the ‘Total Return Formula’, takes capital growth into account.

Listen as Rob & Rob explain how to use this formula, as well as how to best predict capital growth for future investments.

In the news

And this week’s big news is actually a notable lack of news!

Specifically, about how there was no increase in interest base rates announced last week.

It was predicted that they’d rise from 0.1%-0.25%, but this move wasn’t taken.

What do Rob & Rob think this means for the property market?

Hub Extra

We’ve got a great book for you this week, and it’s about something that almost everyone on earth has engaged with in one way or another – Instagram!

‘No Filter: The Inside Story of Instagram’ by Sarah Frier.

This one’s different from the other books about the origins of social media channels, because it’s not solely focussed on controversy.

Instead, it zeroes in on how this brand-new platform went from something small to something that has impacted not just app-users, but businesses and the world at large.

We’re big supporters of thinking big, and the story of Instagram is a prime example of that.

Let’s get social

Make sure you’ve liked and subscribed to our YouTube channel where we upload new content every week!

If that wasn’t enough, you can also join our friendly property community on the Property Hub forum.

See omnystudio.com/listener for privacy information.

Previous Episode

ASK310: Where should I put my cash while I save up? PLUS: How does QE actually get into the economy?

The Robs are back with more listener questions!

First up is Geoff, who wants to know what the best kind of way to save his money is.

Second is from Ian, who wants to know about quantitative easing.

He wants to know how money raised via QE makes it’s way back into the economy.

Tune in to find out.

Do you have a buy-to-let or property investment related question for Rob & Rob? You could feature on the next episode by giving us a call on 013 808 00035 and leaving a message with your name and question (normal UK call rates apply).

Or if you prefer, click here to leave a recording via your computer instead.

The next question on Ask Rob & Rob could be yours.

Have you joined us over on the Property Hub Forum yet? Our online community is friendly, informative, and the members are waiting to welcome you with open arms. So, get yourself over and introduce yourself.

See omnystudio.com/listener for privacy information.