Part 4 Flashcards
(7 cards)
1
Q
Factor
A
is used instead of a capitalization rate
2
Q
IRV (Formula)
A
T BAR
3
Q
VIF (Formula)
A
T BAR
4
Q
Gross income Multiplier
A
ratio between the sale price of a property and its effective gross income or its potential gross income
5
Q
Gross Rent Multiplier
A
use the VIF formula
6
Q
Multiplier
A
the factor by which the return deriving from an expenditure exceeds the expenditure itself.
7
Q
Operating Expense Ratio
A
ratio of total operating expenses to effective gross income TOE/EGI