Real Estate Investment Guides
Every investment metric tells a story. These guides explain what the numbers mean, where the thresholds come from, and how experienced investors use them to make decisions.
Financing
Mortgage payment
Learn how monthly mortgage payments are calculated and how loan amount, interest rate, and term each affect what you pay.
Mortgage affordability
Understand how lenders determine what you can afford and how to calculate your own borrowing capacity before applying.
Down payment
Learn how to calculate the down payment for an investment property and how different percentages affect your loan and returns.
Loan-to-value (LTV)
Understand how investors measure leverage and lending risk using the loan-to-value ratio, and why lenders care about it.
Debt service coverage ratio (DSCR)
Learn how lenders assess risk using DSCR and how investors can use it strategically to qualify for better loan terms.
Closing costs
Understand every fee involved in closing a real estate deal and how to estimate the total cash needed before settlement day.
Rent vs. buy
Compare the long-term financial impact of renting versus buying and learn which factors tip the decision in each direction.
Acquisition & flipping
Fix and flip profit
Learn how investors calculate true project returns on a flip after accounting for every cost from purchase through sale.
After repair value (ARV)
Understand how investors estimate a property’s post-renovation worth and why ARV is the starting point for every flip analysis.
Maximum allowable offer (MAO)
Learn how the 70% rule works and how investors determine the highest price they should pay for a property.
Rental analysis
Rental property analysis
A complete framework for evaluating investment deals — how to combine multiple metrics into a single, structured analysis.
Cap rate
Understand how cap rate measures a property’s income potential relative to its value and how investors use it to compare deals.
Cap rate benchmarks
Learn how to evaluate market performance using cap rate benchmarks and what different cap rate ranges signal about risk and return.
Cash flow
Understand how to calculate true profit on a rental property after all operating expenses and debt service are accounted for.
Cash-on-cash return
Learn how investors measure annual cash yield relative to the actual cash invested and why it matters more than cap rate alone.
Net operating income (NOI)
Understand the core metric behind rental property performance — how to calculate income after expenses but before debt service.
Rental property ROI
Learn how investors measure total return on a rental property including cash flow, appreciation, and equity buildup over time.
Rental yield
Understand how to measure the annual income a property generates as a percentage of its price and when to use gross versus net yield.
Vacancy rate impact
Learn how different vacancy rates affect annual rental income and how to determine how much vacancy your deal can absorb.
Break-even ratio
Understand what percentage of gross income is needed to cover all expenses and debt service, and what lenders look for.
Quick comparison metrics
Price per square foot
Learn how to evaluate property value on an equal footing by calculating cost per square foot and spotting pricing outliers.
Price-to-rent ratio
Understand how investors compare markets and evaluate whether a location favors buying or renting as an investment strategy.
Gross rent multiplier (GRM)
Learn how to quickly compare rental properties by measuring how many years of gross rent it takes to equal the purchase price.
Rent-to-value (RTV)
Understand how investors analyze annual rental yield and deal quality using the rent-to-value ratio and the 1% rule.