“The only thing you know for sure is your assumptions are wrong”
Marc Savatsky, a former student of mine at Boston University, asked me to be a guest on their podcast to discuss real estate metrics and the terminology around investment and decision making. It was truly a pleasure to hang with these three gentlemen who artfully managed the conversation to make both the content and me sound interesting.
In addition to hearing a bit about my background in commercial real estate, we talked about several important topics including IRR (Internal Rate of Return), DCF (Discounted Cash Flow), NPV (Net Present Value), Cap Rates, Debt Coverage Ratios, Transit Oriented Development and more. For more insights into discounted cash flows, capitalization rates and yields, check out the Appraisal Institute’s course book on Advanced Income Capitalization. To learn more about the Boston University Program for Real Estate Studies, check out their website.