The elements of a real estate investor's aspired rate of return
Article Abstract:
Real estate investors and owners typically have projected rates of return on assets that differ from each other by 50% or higher. Real estate investors can use the the internal rate of return (IRR) to calculate the aspired rate of return on a real estate asset which, in turn, can be used to calculate the value of future benefits from an asset. IRR considers the initial cost of an investment, the current and future cash flows that result from the asset and the timing of the investment.
Publication Name: Real Estate Review
Subject: Real estate industry
ISSN: 0034-0790
Year: 1993
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Inflation and the intrinsic value DCF model
Article Abstract:
'Intrinsic value' is another way the appraisal industry defines value of property and and it differs markedly from 'market value.' While market value relates to the price a property seller may be able to get by selling property, supposing that there has been adequate marketing period,and also that the buyer and the seller are set on consumating the deal, intrinsic value relates to the value that should be inherent in the property.
Publication Name: Real Estate Review
Subject: Real estate industry
ISSN: 0034-0790
Year: 1995
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Is there any cash in cash flow?
Article Abstract:
Periodic results, often called 'cash flow,' is one of the five variables used in calculating a property's intrinsic value. But careful analysis indicates that 'cash flow' produces only Available Net Operating Income (ANOI), not cash. ANOI is defined, its periodic elements are specified and its use in determining property values is detailed.
Publication Name: Real Estate Review
Subject: Real estate industry
ISSN: 0034-0790
Year: 1993
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