Are you ready to dive into the world of real estate investing? Maybe you’ve watched too much HGTV, or you’re just looking for a way to make some extra cash. Whatever the reason, investing in real estate can be a thrilling and potentially lucrative adventure. But before you start snapping up properties left and right, there are a few things you need to consider. We’re talking about the six factors that can make or break your real estate investment dreams: location, market conditions, economic indicators, property condition and age, tenant mix and lease terms, and financing options. Don’t worry, we promise to make it fun and easy to understand (even if you’re not a math whiz!). So grab your hard hat and let’s get started!
Definitions: Present Value (PV)
The present value (PV) is the current value of all future sums of money or stream of cash flows given a specified rate of return. Future cash flows are discounted based on the time value of money referred to here as the discount rate, and the higher the discount rate,
December 12, 2020
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