Back to articles
Placeholder article

NPV

A placeholder explainer for net present value and how discounting can compare property outcomes with alternative investments.

What it covers

This article will explain NPV, discount rates, and how future cashflows can be translated into a present-value decision metric.

How the app will use it

A future premium workflow can use NPV to compare hold scenarios, exits, and opportunity cost against alternatives such as unleveraged investments.

What to watch

NPV depends heavily on the discount rate and the timing of cashflows, so a small assumption change can materially alter the result.