Finance of America does a ten-to-one multiplier on a line of credit.

Then multiply that number by how many students can fit in a house.

I've been looking on LoopNet for Multi-unit properties in North Carolina and wanted to get some opinions from my experienced BP members.Church Street Apartments264 Church Street, Concord, NC 28078$465,00014 Units Multifamily Property For SaleBuilding Size:0 SFPrice/Unit:$33,214.29 Property Type:MultifamilyProperty Sub-type:Garden/Low-RiseProperty Use Type:InvestmentCommission Split:3% Cap Rate:13% Gross Rent Multiplier:6.62 Occupancy:100% Lot Size:0.53 ACAPN / Parcel ID:56217008770000Listing Net Operating Income $60,450Here is a link to the property http://www.loopnet.com/xNet/MainSite/Listing/Profile/Profile.aspx?

If there was a multiplier, i.e.: reducing the loan amount to below 417K, that is one thing.  

Rent to value is like a gross rent multiplier and does not reflect true cash on cash returns. 

So take your GPRI at market rates, subtract for vacancy, and multiply by .3, and that should give you a ballpark NOI to then apply your cap rate, probably around 9% for this property and market, and that will give you an estimated value. 

Every dollar you leverage in REI is a multiplier.  

When you do those interest calculations, you neglect that the 10 year note model costs you $72,000 over 10 years in potential cash flow (very simply multiplying current monthly loss times the number of payments, I understand that this is overly simplistic).

Rent control doesn't help.Using gross rent multiplier can help you eliminate a lot of properties without wasting your time on the calculations.

If someone has a vote count that equals 100% of their all in posts then they are probably a smart person (; The Vote Post Multiplier.