Andrew

It's wealthplan.com.

Yeah, I'm going to try and answer this as best we can.

But Ed will have some other things to say.

Someone said, cover the effects of the war on house prices this year.

Anyway, thanks.

Nice seeing you, everyone.

So someone's asked a question around the other costs about owning a rental property, so council rates.

your insurance, accounting fees, maintenance, and how the spreadsheet accounts for those.

So it doesn't factor those in as you don't put the actual costs in there.

You can run those through Opus Plus, but what it does do is it treats it the same as the bank would look at it.

So the banks don't look at those rates on an individual basis.

What they do is they take the gross rent and they deduct 25%.

They do what we call a rental shading or rental haircut.

and then they use 75% of the actual rent to allow for those costs.

So yes, it does, but just not in the way that you're probably used to.

If you want to know what the cash flow on a property is, and some people actually, someone said here, I've just talked about using my, sorry, they've, as you must, have talked about rent covering the mortgage,

I don't know who they are, Stephen.

But then there's a shortfall between the rent, paying the mortgage, and all the other costs.

That's often the case, depending on how much you're borrowing.

So I think the stats are about, what is it, 95% of properties are