Capital Improvements
Major improvements or additions to a property that increase its value, as opposed to routine maintenance.
Leverage
Use of borrowed capital (mortgage) to finance the purchase of property, which amplifies both potential returns and risks.
Operating Expenses
Costs associated with running and maintaining a property, such as utilities, maintenance, taxes, and insurance.
Return on Investment (ROI)
Measure used to evaluate the efficiency of an investment, calculated as (gain from investment - cost of investment) / cost of investment.
Return on Investment (ROI)
Measure used to evaluate the efficiency of an investment, calculated as (gain from investment - cost of investment) / cost of investment.