Estimating income-producing property value by means of capitalization of net operating income. This appraisal approach is useful in estimating the value of apartments, offices, shopping centers and ot [..]

The process of estimating the value of property by considering the present value of a stream of income generated by the property.

Definition The process of estimating the value of an income-producing property through capitalization of the annual net income expected to be produced by the property during its remaining useful life.

The process of estimating the value of property by considering the present value of a stream of income generated by the property.

A general way of determining a value indication of a business, business ownership interest, security, or intangible asset using one or more methods that convert anticipated benefits into a present single amount.

Property valuation method where the current market value of a property is calculated by discounting (multiplication by the inverse of the capitalisation rate) the current market net income in perpetuity. The method requires three essential factors, namely the market rental value, capitalisation rate and (bottom line)capital adjustments. The capital [..]