Are you Calculating for Tax?

[Derek Morrison]

Do you account for tax when you analyze a deal?

[Nick Schoch]

Most analyses I see consider property tax and other local taxes in their calculation of Net Operating Income. 

Regarding income tax, most properties are organized into entities that pass taxes through to the partners, each with their own tax situations and rates. As such, it is hard to include tax in your analysis since the tax amount is specific to the individual investor.