You are considering the purchase of an apartment complex. the
You are considering the purchase of an apartment complex. The following assumptions are made: • The purchase price is $1 million.• Potential gross income (PGI) for the first year of operations is projected to be $171,000.• PGI is expected to increase 4 percent per year.• No vacancies are expected.• Operating expenses are estimated at 35 percent of effective gross income.• The market value of […]