Property Valuation
What is the before-tax cash flow (BTCF) in real estate investment analysis?
AThe gross rental income
BNOI minus annual debt service (mortgage payment)✓ Correct
CNet income after all deductions
DTotal revenue minus expenses
Explanation
Before-tax cash flow = NOI - Annual debt service. BTCF represents the actual cash an investor receives before income taxes are considered.
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