Rental Value
What is it?
Rental value represents the value generated through the leasing of a property and is based on rental income. It indicates how much economic value the property contributes by being leased to different tenants.
How is it calculated?
Rental Income = Rental Value
* Loss of rent due to, for example, vacancies is not included in the key figure
Why is it important to follow?
Rental value is a crucial indicator for assessing the financial performance and profitability of a property. It directly reflects how well the property generates income through leasing, which is of central importance to property owners and investors. Understanding and monitoring the rental value is essential for making informed decisions about property investments and management.
Created by Homepal
3/13/2024
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