You buy a rental property for 400000 today the property, Ask an Expert

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You buy a rental property for $400,000 today. The property provides $25,000 in rental income each year.

You plan to sell the property in 7 years and expect to be able to sell it for $425,000

You expect inflation to be 3% per year over the time period.

If your expectations are met, what is the average per year real return you earn on the rental property investment?

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92884429

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