Holding Period Return (HPR)
- The total return from holding a real estate investment for the holding period of time. The computation follows:
- For a mutual fund investing in a real estate, the return is in the form of: dividends, capital gains distribution, and price appreciation. The annual rate of return or the holding period return (HPR) in a mutual fund is computed as follows: HPR = (Dividends+capital gain distributions + (ending NAV - beginning NAV))/Beginning NAV, where NAV= net asset value and (ending NAV- beginning NAV) reflecting price appreciation. For example, assume that a mutual fund paid dividends 0f $1.00 and capital gain distributions of $.70 per share over the year, and had a price (NAV) at the beginning of the year of $12 that rose to $14 per share by the end of the year. The holding period return (HPR) is:
Popular Real Estate Terms
Lease payments based on factors other than the passage of time. ...
Part of a capital gain constituting tax benefits previously taken and taxed as ordinary income. ...
Cash earnings generated from a real estate investment or property. Cash earnings equals cash revenue less cash expense. The cash earnings may or may not be discounted to its present value ...
Person chosen by a testator/testatrix to handle and conduct the terms of a will to an estate. Duties include collecting and selling of properties and paying debts of the state. ...
Judicial order requiring the named person or business to act or not act on something. An example is an order to a tenant to make rental payments to a landlord. ...
Falsify financial records and statements to misrepresent the financial position and operating results of the business. ...
A notary public's guaranteeing the authenticity of a signature. ...
Inappropriate and possibly harmful use of land. For example, a factory located on the shore of a river discharges toxic pollutants into the waterway. ...
The integrity, morals, and principles guiding an individual's or profession's actions. ...
Have a question or comment?
We're here to help.