Every so often, financial jargon gets thrown around and while they’re all actually used in the real estate space, they’re not always used in the right context.
When you talk about Return on Investment or ROI, do you actually mean Return on Capital? And what is that about, really?
Or perhaps you consider principal payments a burden when in fact, it’s actually PROFIT for your property?
If this sounds like you (or someone you know), this episode is exactly what you need to dive into. Today, we cover terms like Return on Capital, Internal Rate of Return, Debt Service Coverage Ratio or DSCR, what metrics to look out for, and get to the bottom of what they are and what they should mean to you as an investor.
We also talk about the 2 metrics you should focus on to know if you should invest or not…
The key to a healthy, growing business…
Cash-on-Cash Return or ROI…
And lots more.
See you on the inside!
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