This section explains the need for different metrics to analyse an investment property.
You need different metrics to analyse an investment property because only one metric cannot give you a complete picture.
There are certain factors that you will be able to figure out better if you had all the metrics and then you take a look at an overall picture of your investment. The metrics include and is not limited to capital growth rate, capital rate, expected income generation from the property and so on.
One single metric will not give you a clear picture that one property will outperform another property. However, an overall picture gives you more power and better understanding of the real worth of the property, returns it can generate, the cash flow it can generate, the capital growth options that it can generate over a period of time, and which property you should opt for.
For example, you are a developer and you have already done a feasibility on an investment property that you are going to hold after your development is complete. So you develop a property and you know the returns that you are going to get from the developed property. However, you can roll that money over into your investment property and then rent it out so the next leg of your analysis has to be done in Smart Real Estate Investment Analysis in order to get a better picture.