I'm curious on how to meaningfully analyze a current rental property to help guide decision making (e.g. raising rent, refinancing, selling & transitioning to another investment). Essentially, proper metrics to size up your rental real estate property to identify potential winners (keep it) & losers (address what's going on or sell&get-out)
I've read some posts here on calculating a ROI for these properties. Some saying that if the ROI is less than 5% then you would be better off putting that money in index funds as you would make a similar/better return with less hassle. I've also seen different ways to calculate a ROI. What's the most meaningful way to calculate your ROI? Also, if one has a mortgage, how does the annual equity get factored in as well?
Outside of ROI calculations, what are other metrics to evaluate a real estate investment?
Thank you, appreciate all and any advice!
Submitted January 11, 2017 at 02:53PM by kayv0n http://ift.tt/2j8QWKR