Cap Rate Fundamentals
Cap rate equals net operating income divided by property value or purchase price. It expresses annual yield independent of financing structure.
Cap rates, cash flow, and property investment metrics for real estate planning tools.
Cap rate equals net operating income divided by property value or purchase price. It expresses annual yield independent of financing structure.
Cash-on-cash return focuses on levered equity yield — annual cash flow divided by cash invested.
A 1031 exchange may defer capital gains when sale proceeds are reinvested in qualifying like-kind property.
Rent increases affect tenant affordability and landlord revenue — model percent changes and cumulative cost.