The first question for real estate investors is where to invest. We help you quickly find a good place to invest, so that you can move onto the next step.
Our goal is to help you avoid ‘analysis paralysis’. We consider expected expenses due to vacancy, property taxes, property management, leasing, insurance, repairs, and required upgrades.
However, real estate investing involves more than just numbers. Properties with a high yield are riskier and may also require more effort and local presence. Please use the neighborhood score and external research to evaluate the risks of C/D class investing.
Areas with higher median income, more homeownership, and lower unemployment tend to have lower risk. While these areas tend to have lower cap rates, their cap rates tend to be more realizable.
Property taxes may also be lower for long-time residents and higher for investors. In South Carolina, investors typically pay triple the property tax rate. We generally use the average property tax rate for the target location, but we have adjusted the property tax rate in South Carolina.
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- Gross Yield: [Annual Rent] / [House Price]
- Cap Rate: ([Annual Rent] – [Annual Expenses Excluding Mortgage]) / [House Price]
- Education Index: Considers the fraction of residents with high school and college eduction
- Financial Score: Considers the cap rate, price-to-income ratio, and rent-to-income ratio
- Growth Score: Considers the population change, median income change, rent change, and price change over the last 1, 2, 4, and 6 years
- Neighborhood Score: Considers income, employment, education, and owner occupancy
- Overall Score: Combines the financial, growth, and neighborhood scores, giving additional weight to the financial and growth scores
- Representative Low: A typical lower range value. Obtained by adjusting the 5th percentile
- Representative High: A typical higher range value. Obtained by adjusting the 95th percentile
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Disclaimer: Plat Land Technology Inc. is a real estate data and technology company. We are not offering any real estate, investments, and/or securities for sale through this website. Additionally, please note that investments, real estate, and securities come with risk of loss, including loss of principal. Please note that past performance may not predict future results. Any and all datasets, tools, and analyses are made available for informational purposes only, and are not legal, financial, or investment advice. We do not provide any warranties, we explicitly disclaim all warranties, and we are not responsible for any losses. All use is at your own risk. Please see legal for more information.