Should appreciation be necessary for the plan to work?
Published October 1, 2026 · 1 minute read
The answer
Property appreciation is uncertain and should be separated from operating cash flow. A rental may have objectives beyond income, but relying on a future sale price can hide current cash strain.
Evaluate whether you can support the property under its actual obligations. If appreciation appears in an investment scenario, label the assumption and include transaction costs and unfavorable outcomes rather than treating the gain as earned.
This answer is general education. Apply it to the property's actual location, agreements, and circumstances. Where a decision requires professional advice, use a qualified adviser.
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