01 Cash flow & returns Reviewed 30 August 2026

Property cash flow

Cash flow

The cash received from a property minus the cash paid out over the same period.

01 / Plain English

What Cash flow means

Positive cash flow leaves money after the period’s outgoings. Negative cash flow means you must fund the shortfall from elsewhere.

02 / Worked example

How it is calculated

Cash rent received − cash outgoings

Rent received $30,000 Cash outgoings $34,800 Cash flow −$4,800

$30,000 − $34,800 = −$4,800 annual cash flow

03 / Decision context

Why it matters

Cash flow determines whether the property supports your household budget or consumes it between purchase and sale.

Take the next step

A definition cannot see your position. Heyward can.

Start with: “Show this property’s monthly and annual cash flow using my real loan and costs.”

Ask Heyward
04

Sources

Primary & official where available
  1. Australian Taxation Office Residential rental properties
  2. ASIC Moneysmart Buying an investment property

General educational information only. It does not account for your objectives, financial situation, legal position or tax circumstances.