Condotel is one of new ways of investing properties in the Philippines. It is a combination of condominium and hotel plus the perks and privileges with full amenities as well. Same as condominium or condo, you can easily compute the return of investments (ROI) for a condotel.
The computation for the ROI varies due to seasons and locations. But we can set an estimated rate for it including annual rate of return.
What is annual rate of return?
Annual rate of return is the percentage of return annually over the total invested amount.
If you invested 1,000,000 (1M) and within a year you earn 100,000 then your Annual Rate of Return is 10%. And you need 10 years before your reach your ROI.
Below is an example how you can compute your ROI. Please take note that the occupancy rate is 100%. Meaning we assume that the unit is being occupied the whole year.
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