Wealth Comparison Engine
Project 10-year wealth outcomes for exchange vs. sell-and-pay with 5-stream return analysis.
Two Paths, One Replacement Property
Both scenarios assume you buy the same replacement property. The difference is how much equity you bring to the table. The exchange path reinvests your full gross equity minus a small QI fee. The sell-and-pay path reinvests your after-tax net proceeds. The gap in starting equity compounds every year across all five return streams.
- Appreciation: equity gap means more dollars riding the same appreciation rate
- Debt paydown: more equity means less mortgage, or same mortgage with surplus cash earning returns
- Cash flow: identical rental income, but different financing costs if equity differs
- Tax benefit: depreciation basis resets in the exchange scenario, producing higher annual deductions
- Cash returns: surplus or shortfall cash earns your specified rate of return over the projection period
Compounding Makes the Gap Grow
A $66,000 equity advantage in Year 1 does not stay at $66,000. That extra capital appreciates, pays down more debt, and generates additional cash flow. By Year 10, the wealth gap between exchange and sell-and-pay can easily double or triple the initial tax savings.
- Year-by-year side-by-side table with all five return streams per scenario
- Cumulative wealth line chart showing the diverging trajectories
- Crossover analysis: if the sell path ever catches up (spoiler — it rarely does)
- Final recommendation with exact dollar advantage and winning scenario
Sample Output
See what this feature calculates for you.
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