Updated over 4 years ago on . Most recent reply
Vacancy rates. Where do you include them in your analysis?
New investor here. Hoping to get some opinions on where to factor in vacancy costs when you are analyzing a deal. I’ve seen several proforma from turn key companies include it in operating expenses as a variable expense but on the DealCheck website it has it subtract off the top of operating income. Doing it this second way shows properties cash flowing a lot less. I know at the end of the day, it should be factored in somewhere. Just curious what best practices is?