Net Present Value (NPV)
Definition of "Net Present Value (NPV)"
The difference between the present value of cash inflows generated by real estate and the amount of the initial investment. The present value of future cash flows is computed using the cost of capital (minimum desired rate of return, or hurdle rate) as the discount rate.
Popular Real Estate Terms
The equity in property because of work in it by the buyer or holder which directly increases its value. ...
Also called earnest money. Money deposited with an individual for security for the performance so some contract. This is intended to show his/her willingness to follow through with the ...
Individual or business to which all rights (usually intangile) to property have been transferred. ...
The logical definition of both words is almost enough to understand what is earnest money. Money is a form of exchange between people to assert value to something and Earnest equals ...
Properties that about and actually touch and share a common border. Properties B and C are contiguous. Property A is adjacent to properties B and C, but it is not contiguous. ...
If you’re looking for the real estate agent definition, you’re in the right place. So, in the following paragraphs, we will try to examine the complex job of a real estate ...
Medium price for a new second home. Medium is the middle value between the lowest and highest figures. ...
Loan that allows the borrower to pay only the interest for the first few years of the loan. ...
Post-like components of wood that comprise a building frame. For example, a building code in a locality might require that studs measuring two-up-six be used for the exterior part of the ...
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