I think it is fair to say that the 50% rule is a much better guideline than 45% because (a) it is easier to use in mental calculations, (b) it is more conservative and (c) it seems to have worked for so many successful BP investors.I consider myself fairly financially sophisticated but I would not second-guess the numbers that numerous investors have claimed from real experience managing MFDs because I do not have real-world experience managing a portfolio of apartment complexes.

Hardly the sophistication I was led to believe.

Not sure if you're trying to be helpful, or just belittle the new kid, but my perception is the latter.

It takes a more sophisticated loan officer who can really understand your business.

People who lend their credit to RE investors are not that sophisticated.

CAP rate is used by people who are much more sophisticated than what you call novices.

And if they're coming from that perception, then I can only guess that they believe that what they do is take advantage of other people's ignorance.

My perception of it is barbaric.

Once you learn the basics, you'll begin to understand the more sophisticated aspects of RE/REI more easily.

The key is without the anchor driving traffic the small strip will not lease up.Funds are very sophisticated sellers.