For example, if the NOI in a 7 cap area is 200,000 its value that I derive from my underwriting would be 2.86 mil but compared to a 7 cap area where the appraiser drops the rents and now the NOI is around 175,000 then the value would be 2.5 mil.

Selling premium in the derivatives market can be a consistent income generating strategy for those with a low risk appetite.

You take the gross income annually minus all of your expenses taxes insurance maintenance utilities etc. to derive at the net operating income. 

If Rental Income is being derived from the Property being vacated by the Borrower, the Borrower must be relocating to an area more than 100 miles from the Borrower’s current Principal Residence.

Hello @Cecile Poyet, There are dozens of companies that supply/sell data that tell you sqft and avg home sell price where you could derive your ppsqft number.

They have to stick to stocks, bonds, derivatives, etc.  

Refi is 6 months.I also cannot derive how $57,109 is the total cash needed at the bottom of the Refinance section.

But those few "winners" are where they derive all their profit. 

Would it be out of line to ask how they derived the valuation?

You're right, there sure is a lot value that can be derived by learning from other people's experiences!