you are thinking about purchasing a small apartment. the property contains 8 apartments of similar size and configuration that rent for 3000 a month you are responsible for all operating expenses.

a) what is the annual potential gross rent you expect to receive from this property in the first year of ownership

b) whar is the annual effective gross income you expect if you expect the vacancy rate to be 10% per year

c)if expenses are estimated to be 40% of effective gross income what is the net operating income generated by the property in the first year of ownership.

d) what is the estimated value of the property if the current market cap rate is 6%