The occupancy rate measures the percentage of rented units in a property compared to the total number of units available.
A Notice to Vacate is a formal written communication that initiates the process of terminating a lease agreement. It specifies a tenant’s intention to leave the property by a designated move-out date.
A triple net lease (NNN) is a lease agreement where the tenant is responsible for all property expenses. This includes taxes, insurance, and maintenance, in addition to paying rent. This setup provides landlords with a consistent income stream while transferring many financial responsibilities to the tenant.
A townhouse is a narrow, vertical multi-floor home. It shares one or two walls with adjacent properties and has its own entrance.
Tailoring marketing strategies to meet the expectations of these groups helps enhance occupancy rates and ensure sustained tenant satisfaction.
This collaborative investment approach enables individuals to participate in larger, potentially more lucrative opportunities that would be unattainable independently.
Submarkets are crucial for understanding how demographic trends and property types influence real estate values and performance.
This notice balances the landlord’s responsibilities for property maintenance with the tenant’s right to privacy.
Normal wear and tear refer to the natural deterioration that occurs over time with regular use of any rental property.
A triplex apartment is a multifamily structure that combines three separate residential units into one building. Each unit has its own kitchen, bathroom, living room, and exterior doors.
At its core, property turnover rate is the frequency at which a property changes occupants within a specific timeframe.
Such repairs are vital in ensuring that a property remains competitive and attractive to potential tenants while maintaining the overall quality of the living environment.
Gross rental income includes all income generated from rent and additional services, while expenses cover maintenance, property management fees, and utilities.
This simple yet effective tool gauges loyalty and helps identify areas for improvement, ultimately enhancing customer service.
NOI is calculated by subtracting all necessary operating expenses from a property's total revenue.
NIM is calculated by dividing the market value of a property by its net operating income (NOI). This provides a clear indicator of the property's income-generating potential.
Net cash flow is the surplus cash that remains after deducting all operating expenses and debt service from the rental income or revenue generated by a property.
In commercial real estate, net absorption measures the net change in occupied space within a specified period. It reflects the dynamics of supply and demand.
These properties often serve as an attractive investment option because they can generate rental income from multiple tenants. This income can offset mortgage payments and provide cash flow.
Conducting a thorough inspection can protect the security deposit by clearly outlining any pre-existing damages or new issues that arise during the tenancy.
Mortgage servicing fees cover tasks like processing payments, sending monthly statements, and managing escrow accounts.
It involves managing the day-to-day operations of a mortgage loan. This includes processing and crediting homeowners' payments accurately and maintaining escrow accounts for taxes and insurance.
A mortgage loan is a financial agreement between a borrower and a lender. It allows the borrower to purchase a home by borrowing funds against the property itself.
MIP is a type of mortgage insurance necessary when the down payment is less than 20%. It protects lenders from the higher risk associated with such loans.
Mortgage debt service refers to the total amount of monthly payments made to cover both the principal and interest on a mortgage loan.
