Question
An investor wants to purchase an 8-unit apartment building that receives rent of $400/month for each unit. The annual operating expense for the apartment building
An investor wants to purchase an 8-unit apartment building that receives rent of $400/month for each unit. The annual operating expense for the apartment building is $6,500. If the investor expects 9% Capitalization rate (expected return on the investment), what should be the maximum price of the property?
| 1. | $354,444 | |
| 2. | $534,000 | |
| 3. | $435,404 | |
| 4. | $345,000 |
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Sports Finance And Management Real Estate Entertainment And The Remaking Of The Business
Authors: Jason A. Winfree, Mark S. Rosentraub, Brian M Mills
1st Edition
1439844712, 9781439844717
