OK lets say you buy some sort of turn a round park and within 5 months you increase the NOI from say 100K to 150K. Now lets say you bought at a 7 cap and your going to sell at a 7 cap. And every thing looks great the income is on the dirt, you got the spaces filled with owners, raised the rent just a bit across the board and now you want to sell!
Your obviously selling at a higher price.
Heres the question, Is the bank / Finance / Insurance co whatever,
are they going to lend based on the new NOI?
Or are they going to lend based on lets say a 3 yr avg or some variation of this?