true positive cash flow is hard to achieve 2008-07-17 19:10:44

true positive cash flow is hard to achieve

2008-07-17 19:10:44

Net Operating Income (NOI) - From income producing property, the gross income minus the total of all expenses except for debt service. Cash flow is defined as NOI minus the total of all debt service payments.

general rule of thumb is to achieve true positive cash flow, 55% of the rent for debt service, 45% for expense and profit