How to Analyze the Rent to Value Ratio

  • 3 years ago
What is the rent-to-value ratio and how do you calculate it? This metric helps you evaluate the performance of a rental property.

In this video, I'll give you a 2019 real estate market update with what's happening in the linear and cyclical markets regarding inventory.

Then, I'll tell you what a good percentage is for the rent-to-value ratio. And we'll discuss an example using a pro-forma.

Next, you'll learn the importance of treating income property as as multi-dimensional asset class. And I'll talk about why cap rate is not my favorite metric.

Finally, I'll discuss the truth about the kind of return you really can get on higher quality properties vs. cheap ones.

Remember, the property must make sense the day you buy it. No speculation!

Learn More: https://www.jasonhartman.com/

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