Math Flashcards
1
Q
how do you determine Yield (or cap rate)
A
NOI/sale price or market value
2
Q
what does NOI mean
A
Net operating income
3
Q
how do you calculate NOI
A
gross potential rent - vacancy rate-operating expenses
4
Q
what is capitalization rate, ie 6%
A
same as yield or cap rate
5
Q
when do you apply “imediate repairs” that need to be factored when determining market value
A
at the end, after you have determined the market value
