Real Estate Investing
Debt Yield
Definition
What is Debt Yield?
PropertyLand and buildings held for use, rent, development, or capital appreciation. net operating incomeProperty revenue minus normal operating expenses, before financing and tax. divided by loan amount.
Example in practice
How This Looks in Practice
₦8 million NOI on a ₦50 million loan gives a 16% debt yield.
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Related Terms
Real Estate Investing
Real Estate
Land and buildings held for use, rental income, development, or appreciation.
Real Estate InvestingResidential Property
Property designed mainly for people to live in.
Real Estate InvestingCommercial Property
Property used for business purposes, such as offices, shops, or warehouses.
REIT MetricsFunds from Operations
A REIT performance measure that adjusts net income for real-estate depreciation and certain property-sale gains.