Net Present Value (NPV)
Definition of "Net Present Value (NPV)"
The difference between the present value of cash inflows generated by real estate and the amount of the initial investment. The present value of future cash flows is computed using the cost of capital (minimum desired rate of return, or hurdle rate) as the discount rate.
Popular Real Estate Terms
member of the National Association of Real Estate Brokers, Inc. ...
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One that is legally binding because it is in conformity with legal requirements and conditions. ...
Professional certification granted by the Institute of Real Estate Management, an affiliate of the National Association of Realtors. ...
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