How To Use Price-To-Rent Ratio For Investment Properties

Abstract

The price-to-rent ratio (PTR ratio) is a simple valuation metric with several valuable applications. Lower-priced neighborhoods tend to see more rental demand than their higher-priced counterparts. Investors with rental properties in higher- priced neighborhoods may simultaneously benefit from increased demand and cash flow. The metric could also be reverse-turned-in-a-the-councils. For more information, please visit www.fortunebuilders.com and www.fantastic.com. The PTR ratio. The metric may be reverse engineered to identify the best places for investors to buy rental properties.