Band of Investment FORMULA
CR
M
MP
EP
- Capitalization Rate
- Mortgage Constant
- Mortgage Position = LTV Ratio = Loan / Value
- Equity Position = 1 – LTV Ratio
𝐶𝑅 = (𝑀𝐶 𝑥 𝑀𝑃) + (𝐸𝐷𝑅 𝑥 𝐸𝑃)