., I like to include a decent % variable expense to go towards big unexpected capex items- that way you are planning on building in reserves to handle these issue's ahead of time.

I know there are so many variables, but I was wondering if anyone could point to an educational resource that provides a sort of systematic way to break it all down.

Marta Frey I have had Texas National Bank out of Jacksonville Texas do a 30 year as well as a 20 year variable.

I mean there are hundreds of variables here.

This is a common question nowadays and a tough one to answer without all the variables.

Cap Rate is a measure of the ratio between the cash flow produced by a property and its capital cost (the original price paid to own the asset) or alternatively its current market value.The rate is calculated in a simple fashion as follows:annual cash flow / cost (or value) = Cap Rate For example, if a building is purchased for $1,000,000 and it produces $100,000 in positive net cash flow during one year, then:$100,000 / $1,000,000 = 0.10 or 10% The properties Cap Rate is ten percent.NOTE: Positive net cash flow = The amount left over after all fixed costs and variable costs are subtracted from gross lease income, however before debt service is subtracted.

Interest rates are a little bit higher than residential and typically they are only locked on for 3-7 years or can be a variable rate from the beginning.

Once that's done, another scan of email will usually result in a few other things to handle, which runs the gamut of so many variables that I literally don't do the same thing every day.  

Each of these variables will dramatically change the advice I give the individual asking me this question.

We do have a variable rate HELOC on this property that has increased quite a bit in recent years.