| 0 | A | B | C | D | E | F | G | H | I | J | K | L | M | N | O | P | Q | R | S | T | U | V | W | X | Y | Z |
Capitalization Rate
The ratio used by potential real estate investors to estimate the value of real estate investment.
Net operating income divided by the sales price or the value of a property expressed as a percentage. Investors, lenders and appraisers use cap rate to figure out what they should pay for different types of real estate investment property.
NEXT: Cash Flow