A new article on rental property evaluation that shows real estate investors and agents how to quickly and easily estimate a rental property’s value has been posted on the ProAPOD website entitled “2 Easy Ways to Quickly Estimate a Rental Property’s Value”.
The article explains the meaning and formulation for Gross Rent Multiplier and Capitalization Rate, and then shows how each can be used to compute an estimated value for any particular rental income property. Here’s an excerpt:
“Sometimes it helps to be able to calculate a rental income property’s estimated value just as a quick first-glance look to determine whether its in line with similar properties in the local market area…not to provide a true picture of a property’s profitability, but just to help decide whether or not it even comes close to being a good real estate investment opportunity”
The article is free to read courtesy of ProAPOD Real Estate Investment Software.