How Much is My Investment Property Worth? Read the full blog post here: https://robrosarealestate.blogspot.com/ Let's talk about whether or not this is a good investment or what price should we sell it at. The income approach will help us determine the property's value. The income approach is used for valuation of income-producing properties such as apartment buildings, office buildings, retail stores and shopping centers and is based on anticipation. These are the 5 steps that are taken into consideration - G - I - V - E - N GROSS Income - estimate it depending upon market, also include sources such as vending machines, parking fees, and laundry machines. Vacancy - deduct for vacancy and rent loss. Expenses - items such as heat, hot water, utilities, real estate taxes, insurance, legal & accounting fees, advertising and property management are included. Mortgage payments (principal and interest) are debt service and are not considered operating expenses. Net
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