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You are thinking about renting out your condo rather than selling it. You can get $200,000 if you sell your condo to an eager buyer
You are thinking about renting out your condo rather than selling
it. You can get $200,000 if you sell your condo to an eager buyer
today, but only $100,000 if you wait to sell it. You expect to earn
$5,000 per month (including all expenses). The discount rate of
12%. What is the minimum number of months you need to rent it
out for this to be an acceptable investment?
Please show your work, thank you!
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