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Calculate 'Market Value' based on the financing information provided below. Please provide step by step explanation. Total Loan Amount$4,326,031 Construction Loan Interest Rate 3.50% Permanent
Calculate 'Market Value' based on the financing information provided below. Please provide step by step explanation.
- Total Loan Amount$4,326,031
- Construction Loan Interest Rate 3.50%
- Permanent Loan Interest Rate 5.50%
- Loan to Value 70%
- Amortization (years) 30
- Loan Term (years) 10
- Lender Required DCR (min.) 1.20
- Interest-Only Period N/A
- Market Cap Rate 8.25%
- Your Required ROE 10.0%
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Intermediate Financial Management
Authors: Eugene F. Brigham, Phillip R. Daves
11th edition
978-1111530266
