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In the chapter, Why you Need a Property Service Plan, we supply a sample rental residential or commercial property capital projection. There is no one-size-fits-all formula for computing whether a rental residential or commercial property is a good investment, so you'll want to use a range of metrics. 3 essential metrics financiers typically use to evaluate a rental residential or commercial property are the capitalization (cap) rate, cash-on-cash return, and return on financial investment (ROI).
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