Does the RTP vary with interest rates?
Yes. The RTP of 500 that I use in this course is a guideline for you to consider and one that will give you a ‘first indication’ of whether the property you are considering is likely to be cash flow positive. During times of high interest rates you will need to accept a higher RTP factor. To be a successful investor you need to follow a formula that works for you. This is a formula and certainly not the only formula for success. It is one that will help you find cash flow positive properties. If you apply this formula, it will help you cut down the legwork in looking for cash flow positive properties. You will still need to do some more research once you have narrowed down the field but it may save you a lot of time and energy in your search for a good deal and it may also give you confidence that you are following a particular strategy.