They are about income and expenses. You need to watch for tricks like these. When we noticed that the lobby and swimming pool were [...] Paying for repairs off the books, or just avoiding necessary repairs for a year, can dramatically increase the net income. At a .08 capitalization rate, that means the appraisal would come in $562,000 higher than it should have. We stayed at a motel for a week one winter. Unlike sellers of houses, who may cover foundation cracks with plaster, the tricks used by sellers of income properties aren’t about appearance.
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