Property Valuation
What is yield in real estate investment?
AThe annual rent collected
BThe return on investment, expressed as a percentage of the investment✓ Correct
CThe profit from property sale
DThe capitalization rate
Explanation
Yield in real estate is the return on investment expressed as a percentage. Different yield measures exist: initial yield (first year NOI / purchase price), overall yield/cap rate, equity yield, and total return including appreciation.
Related Ohio Property Valuation Questions
- An Ohio appraiser makes a '+$5,000' adjustment to a comparable sale. This means the comparable:
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- In Ohio, which professional is licensed to perform appraisals for federally related transactions over $400,000?
- The income capitalization approach is MOST appropriate for valuing which type of Ohio property?
- In Ohio, which of the following factors does NOT affect property value?
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