capitalization rate: The rate of return a property will produce on the owners investment. net operating income (NOI): The income projected for an income-producing property after deducting losses for vacancy, collection and operating expenses. [addsig]
to get the cap rate (capitalization rate) you would take sales price divided by the net operating income that equals cap rate, im pretty sure im remembering that right
thank you for the corection that is write sorry
thanks again guys
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capitalization rate:
The rate of return a property will produce on the owners investment.
net operating income (NOI):
The income projected for an income-producing property after deducting losses for vacancy, collection and operating expenses.
[addsig]
to get the cap rate (capitalization rate) you would take sales price divided by the net operating income that equals cap rate, im pretty sure im remembering that right
thank you for the corection that is write sorry
thanks again guys