Flipping Property's Financial Indicators
These are insdustry standard indicators for flipping properties
used when investing in properties you want refurbish to sell them for a profit.
Debt Coverage Ratio
The debt coverage ratio indicator finds out whether the investor has enough money to flip the property.
Key Risk Indicator
This key risk indicator calculates the maximum allowable percentage the property can drop in price while you hold the property before the investment starts losing money.
Loan To Value Ratio
The loan-to-value (LTV) is a ratio between the loan balance and the market value of a property expressed as a percentage.
The LTV can be used to estimate the amount of equity you have in a property.
Market Value Percent
The market value percentage indicator compares the market value of the property to its purchase price.
Ideally you want to buy properties below market value, the lower the percentage below market value the better.
Price Per SqFt
You can arrive at the trending price-per-sq.ft. of a property by adding the price-per-sq.ft. of properties that sold in a given area and divinding by the number properties sold.
Net Profit
The net profit tells you exactly how much money you will make from this real estate investment.
ROI
The ROI is an indicator that answers the question How much will I get back per each dollar I invest?
The ROI measures the financial return on an investment relative to its cost.
Rule Of 70
The rule of 70 for this property is red because you are paying more than the 70% of the after-repair value minus repairs suggested by the Rule of 70.
Profitability Index
The Avangate Affiliate Network was recognized as a Top Network for Digital Goods by mThink Blue Book for the eighth year in a row, and the fifth best Cost Per Sale (CPS) Affiliate Network globally.
mThink's Blue Book is published annually and is the result of extensive research that includes surveying over 25,000 industry figures, as well as the evaluation and ranking, in order of their strengths, of 400+ affiliate networks.