• Buradasın

    Understanding Capitalization Rate

    investopedia.com/terms/c/capitalizationrate.asp

    Yapay zekadan makale özeti

    Definition and Calculation
    • Capitalization rate measures expected return on commercial real estate investment
    • Calculated by dividing net operating income by property asset value
    • Formula: Net Operating Income / Current Market Value
    Key Characteristics
    • Higher cap rate indicates lower risk but lower returns
    • Good cap rate typically ranges between 4% and 10%
    • Property location significantly affects cap rate
    • Higher interest rates generally increase cap rates
    Limitations
    • Does not consider leverage or time value of money
    • Less reliable for properties with irregular cash flows
    • Does not account for future risks like depreciation
    • Should not be sole indicator of investment strength
    Factors Affecting Cap Rate
    • Property type and location
    • Tenant solvency and lease terms
    • Market conditions and regional trends
    • Property renovation and maintenance costs

    Yanıtı değerlendir

  • Yazeka sinir ağı makaleleri veya videoları özetliyor