Knowing how to evaluate a property is crucial! #ShortTermRentals #RealEstateInvesting #CashFlow

The Short Term ShopSep 30, 20240m 17s637 viewsScore 75
Pricing & Profitability
beginner
Profitability
Revenue Management
Market Research
Expenses
Bookkeeping
M

Summary

AI-generated

This video quickly introduces and lists nine key math formulas that short-term rental investors should be familiar with to evaluate property performance and potential returns. The presenter also mentions a tool that can calculate cash flow, cap rate, and cash-on-cash return.

Key insights

  • Nine math formulas every STR investor should know: 1. Cash on Cash Return 2. Cap Rate 3. NOI (Net Operating Income) 4. GRM (Gross Rent Multiplier) 5. Occupancy Rate 6. Debt Service Coverage Ratio 7. Break-Even Occupancy 8. LTV (Loan-to-Value) 9. CapEx (Capital Expenditures)

Tools & resources

  • Calculator Tooltool

    A tool that calculates cash flow, cap rate, and annual cash on cash return. Type 'Calculator' in comments to gain access.

Curated by Learn STR by GoStudioM · Summary & key insights generated by AI · Reviewed by editorial