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Unlocking Bank Loans_ How Net Operating Income Determines Your Borrowing Power
1 year ago
10
Yeah so you have a $500 NOI or net operating income So why is that important Well the banker looks at that number because that's the number that they see to be able to pay back any debt you might want Correct So they're going to look here and they're going to say OK this person has $500 in NOI Therefore we can give them a loan say up to say $350 $250 or something like that So what they're going to do is they're going to look at the NOI and say how much can we loan you So when Kenny calls me says I have this property
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