Financial Formulas Flashcards
1
Q
Long Formula (song)
A
GPR-VAC=TRR+OI=EGI-OE=NOI-DS-RR-CE= Cash Flow
2
Q
Average effective rent
A
TRR divided by units occupied
3
Q
Break even occupancy ratio
A
(OE+DS+RR) divided by EGI
4
Q
Break even per sq. Ft
A
(OE+DS+RR) divided by total property sq. Ft
5
Q
Capitalization Rate
A
NOI divided by Purchase Price 💵
6
Q
Cash On Cash Return
A
CF divided by down payment
7
Q
Effective Market Rent
A
(Monthly market rent X # of months in lease — total concessions) divided number of months in lease.
8
Q
Gross Potential Income
A
Occupied units X Average leased rent + vacant units X Average market rent
9
Q
Gross Potential Rent
A
Total # of units X Average market rent
10
Q
Operating Expense Ratio
A
OE divided by EGI
11
Q
Economic Occupancy
A
TRR divided by GPR
12
Q
Total Controllable Expenses
A
OE+DS+RR
