What formula do I utilize to find out the annual net revenue I'll receive for a property?

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What formula do I utilize to find out the annual net revenue I'll receive for a property? For example, If I were to purchase a commercial property for $8,950,000 with an interest rate of 3.5% and a term of 30 years. I put down 25% which is $2,237,500, which would make my loan amount equate to $6,712,500. This particular commercial real estate property has a NOI (Net Operating Income) of $494,040 yr, the debt service is $361,705 yr, and the cashflow is $132,335yr. Would my net revenue equate to $494,040 yr or $132,335 yr?

Posted Date: Dec 05, 2021 05:29 PM

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What formula do I utilize to find out the annual net revenue I'll receive for a property?

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NOI 494040yr Interest S671250035 23493750 ... View the full answer

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