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Updated almost 9 years ago, 12/17/2015

User Stats

39
Posts
11
Votes
Victor Omoniyi
  • Houston, TX
11
Votes |
39
Posts

Gain/Loss to Lease - Line Item on Cash Flow Statement?

Victor Omoniyi
  • Houston, TX
Posted

Hello BP Community,

I am analyzing a deal and I see the Gain/Loss Line item on the CF statement - it's a positive value - so severely inflates my Potential Gross Income. My questions are: 

-Kindly explain in layman term the implication/meaning of this line item (I understand it's the mock-up to market rental value)

-Should this line item be included in the income prospects of the property?

This line item value ($17K) changes my justified investment value by over 200K 

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