Transcript:
n this training, we’re going to review how to model income-producing rental properties in Voyant.
To begin, go to the plus button in the bottom-right corner of the screen and select Property.
From the Asset Type dropdown menu, you’ll see several different property options. In this example, we’re going to use the Rental Property option.
First, give the property a name. This name will appear on your dashboard and in your reports.
Next, enter the property’s current market value as well as the purchase value.
You’ll then need to specify whether this property is an existing property already included in the plan or a future purchase.
If this is a future purchase, select Yes and use the Timing section to specify when the property should enter the plan.
For this example, we’ll keep the property as an existing property.
Next, go to the Linked Income section and create a new income source linked to this property.
You’ll need to specify the income taxation type, including whether the income is taxable or non-taxable and whether it should be treated as earned income. The default settings will typically already be populated for you.
You can also edit the property’s growth rate in the Growth Rate section.
Finally, specify whether the rental income survives the owner.
Once completed, click Done to save the linked income.
Next, we’re also going to link expenses to this property. In this example, we’ll add estimated annual repair costs.
After entering the expense details, click Done to save.
At this point, we now have both linked expenses for annual repair costs and linked rental income associated with the property.
Once we click Done, we can move over to the Cash Flow chart and see the additional rental income flowing into the plan during the applicable years. This income will appear under Other Income.
If you then go to the Assets chart with the Details button and Legend turned on, you’ll be able to see both properties displayed on the chart along with their estimated values in each year.
If you’d like to focus only on the properties themselves without showing liquid assets, you can select Hide All and then toggle only the property assets back on.
You can also go into Year View to review the details of these properties more closely.
Under Cash Flow, you’ll be able to see the rental income flowing into the plan. Since this example uses a jointly owned property, the income will be split equally between Johnny and Nora.
Under Expenses, you’ll see the annual repair costs, along with any mortgages or other expenses associated with the property.
You can also go to the Property section to review the estimated value, debts, and equity associated with each property. Clicking into the property will provide additional details if needed.
Finally, you can go to the Debts section to review any mortgages linked to the properties and use the slider bar to see how those values change over time throughout the plan.
I hope this has been helpful.
If you have any questions, you can click the client’s name in the top-right corner of the screen, select Request Support, enter your question into the text box, and share client access.
Thanks for listening.