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The Federal Reserve had a meeting where they announced plans to lower interest rates. Suppose NOIs, and expected growth rates for NOIs on properties are
The Federal Reserve had a meeting where they announced plans to lower interest rates. Suppose NOIs, and expected growth rates for NOIs on properties are expected to remain the same. Using your knowledge of cap rates, what does this imply will happen to property prices? (Hint: how are cap rates related to r and g?) Type 1 for lower Type 2 for no effect Type 3 for higher
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Investment Analysis And Portfolio Management
Authors: Frank K. Reilly, Keith C. Brown
9th Edition
0324656122, 978-0324656121
