In the world of real estate, it’s easy to get overwhelmed by the “big picture.” You hear news reports about rising federal interest rates, national housing shortages, or shifting economic cycles, and you feel paralyzed. You wonder, is now the right time to buy? This is where Bottom-Up Investing comes in. While “Top-Down”
You’ve found a property. The spreadsheet says it’s a winner. The mortgage calculator gives you the green light. But then you look at the Zestimate, and it’s $50,000 less than the asking price. What’s going on? Ever wonder why a ‘perfect’ house on paper sits on the market for months, while a
You’re looking at a real estate listing. You’re looking at a real estate listing. The agent’s description glows: “A cash-flowing machine!” The numbers show a 7% Cap Rate. But what does that really mean for your bank account after you pay the mortgage, taxes, and set aside money for a new roof in
You’re at an open house. The smell of fresh paint is in the air, the floors are new, and the kitchen has granite countertops. But then you notice it. The only way to get to the beautiful backyard is by walking through the master bedroom. Or maybe it’s a spacious
The fixed asset turnover ratio (FATR) is a financial metric that measures how efficiently a company uses its fixed assets to generate revenue. For large corporations, this means evaluating factories and machinery. But for you, the real estate investor, it’s a powerful “efficiency score” for your rental property. It answers a critical question: “How hard is my property working to generate income relative to its cost?” By understanding this ratio, you