I'm looking at an opportunity to purchase 8 local properties at a discount. I am going to research the properties and the owners numbers to see if the 11.9 - 13.1% cap rates are close to actual #'s. Here's the ad: W...
I am using a pretax discount rate 12% to evaluate my deal now. What rate do people use?
Note: I wrote this post pretty quickly, so I’m sure there will be some questions and perhaps even some confusion…if so, feel free to ask, and I have some additional disclaimers at the bottom... I’ve written a bunch ...
Let's play a game. You have a separate property that appreciated well. You can sell it now (make $131k after taxes and fees), or you can convert it to a rental property and make. $700/mo for the rest of your life.Also...
Not sure this is the right section but would appreciate your thoughts. For reasons immaterial to this question, another investor agreed to pay be $500 per month every month for 30 years. He will keep his word but, if ...
I'm about to enter into an investment deal with an energy company in which I will be entitled to a 15-year income stream. Pre-determined amounts will be paid to me in inequal yearly installments (e.g. year 5 pays $12k...
I'm sure I made a few mistakes but its becoming a useful tool. Whatcha think? Tab 1 - Deal OverviewTab 2 - 10/20 Year FinancialsTab 3 - Loan 1 AmortizationTab 4 _ Loan 2 Amortizationhttps://www.biggerpockets.com/files...
Even though Net Present Value is used mainly in financial management I think it is probably the best ratio/calculation for analyzing a real estate deal. Unfortunately in Real Estate Analysis people usually use mainly ...
Why do syndicators focus so hard on IRR? If you have a specific return you are targeting, wouldn't PV be a better metric to calculate?
I am someone that have flipped several homes in my life, and now I can see where it is time the raise the interest rate at the Fed's Discount window.By doing this will increase home values, and cause more homes to be ...