A building has a total of 50 units that each rent for $2,500.00 a month. The vacancy rate is 5%, there is a $7,000 annual collection loss, and $10,000 annual vending machine income. The operating expenses are 45% of the effective gross income. The Rate of Return is 4.3%. What is the value of this building?

Answer rating: 100% (QA)

To determine the value of the building we can use the income approach to real estate valuation speci... View the full answer