Distribution of Price, Income and Expenses
This section explains how to distribute your purchase price, income and expenses across the total area of your investment.
The ratio of your property price and your total expenses and your total income are all broken down based on net leasable area, your total area, and net rentable area.
All the expenses in the operating expenses ratio are also broken down and give you a percentage, and then you can compare other investment opportunities.
Only one metric can not give you a complete picture of your investment. It is essential to look at all these metrics together and compare all different opportunities to make firm decisions and see where your money will get best returns. This is where Smart REIA comes to your aid.
Assume you are the developer and you have already done your feasibility on an investment property that you are going to hold after the development is complete. You will know the money you are going to make. Still, you can roll that money all over the investment property and rent it out so that the rest of your analysis can be done by Smart REIA in order to get the better picture.