I would like to know what are the factors that one has to look over on a property as an investmented principal amount.
Such as 1) inflation, 2) tax rates..
As, an example; A plot bought for 10,000 Rs. In 1979 and we want to know the amount invested in current time we have to know the inflated rate of currency.
1) Now, if,we just put inflation into it; 10,000 Rs. Of that time in 1979 equals 217,188.60 Rs. Of today according to the state bank of pakistan ( Inflation Rates).
Therefore, the property of 10,000 Rs. Of 1979 equals to 217,188.60 Rs. Of today. This is just my Principal amount in today's Terms. (Anything, over that amount for now I assume as a surplus.)
This is just one factor which i have put in principal Investment only which is inflation..
What other factors should be put such as 2) Taxes or what else and how to calculate and know all the details..?
Hoping for your cooperation fellows..