Income property is multi-family housing properties such as duplexes, triplexes, fourplexes and larger apartment buildings. Income properties with more than four units are usually treated differently from properties with fewer units by tax, legal and lending entities.
While the market value of single-family residential property is usually based upon location, amenities and other subjective measures, income property is more often than not priced by objective parameters of zoning, income, expenses, rent multipliers, capitalization rates, negative cash flow, realistic appreciation potential, etc. Relatively few local real estate professionals understand the realities of the income property market and what may affect pricing.
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