Terminal Capitalization Rate

Filed Under » ,
Dictionary Says

Definition of 'Terminal Capitalization Rate'

A rate used to estimate the resale value of a property at the end of the holding period. The expected net operating income (NOI) per year is divided by the terminal cap rate (expressed as a percentage) to get the terminal value. Terminal capitalization rates are based on forecasts and estimates and changes based on the person doing the calculation.
Investopedia Says

Investopedia explains 'Terminal Capitalization Rate'

When looking at longer periods of time, it is a safe assumption that NOI forecasts will not be completely accurate as estimations become harder over longer periods. Therefore, it may be necessary to include a risk adjustment to the rate.
Search results for

'Terminal Capitalization Rate'

  • Debt Ratios: Capitalization Ratio | Investopedia

    http://www.investopedia.com/university/ratios/debt/ratio4.asp
    ... Zimmer Holdings' 2% capitalization ratio needs no further comment. ... Find out how to
    use the Bloomberg terminal computer system to trade ... Rate data provided by. ...

  • Debt Ratios: Introduction | Investopedia

    http://www.investopedia.com/university/ratios/debt/
    ... Debt Ratios: Capitalization Ratio; Debt Ratios: Interest Coverage Ratio; Debt ... Find
    out how to use the Bloomberg terminal computer system to ... Rate data provided by. ...

  • Debt Ratios: Introduction | Investopedia

    http://www.investopedia.com/university/ratios/debt/default.asp
    ... Debt Ratios: Capitalization Ratio; Debt Ratios: Interest Coverage Ratio; Debt ... Find
    out how to use the Bloomberg terminal computer system to ... Rate data provided by. ...

  • Evaluate Stock Price With Reverse-Engineering DCF

    http://www.investopedia.com/articles/fundamental-analysis/09/reverse-discount-cash-flow.asp
    ... count of 100 million, the company has a market capitalization of $1.4 ... able sustain
    a long term cash flow growth rate (also know as the terminal growth rate ...

  • Debt Ratios: Debt-Equity Ratio | Investopedia

    http://www.investopedia.com/university/ratios/debt/ratio3.asp
    ... Next: Debt Ratios: Capitalization Ratio ». Table ... Find out how to use the Bloomberg
    terminal computer system to trade stocks. Read More »; ... Rate data provided by. ...

  • Debt Ratios: Cash Flow To Debt Ratio | Investopedia

    http://www.investopedia.com/university/ratios/debt/ratio6.asp
    ... Debt Ratios: Debt-Equity Ratio; Debt Ratios: Capitalization Ratio; Debt Ratios ... Find
    out how to use the Bloomberg terminal computer system to ... Rate data provided by ...

  • Debt Ratios: Interest Coverage Ratio | Investopedia

    http://www.investopedia.com/university/ratios/debt/ratio5.asp
    ... Beginner's Guide To The Bloomberg Terminal. Find out how to use the Bloomberg terminal
    computer system to trade stocks. Read More »; ... Rate data provided by. ...

  • Debt Ratios: The Debt Ratio | Investopedia

    http://www.investopedia.com/university/ratios/debt/ratio2.asp
    ... Beginner's Guide To The Bloomberg Terminal. Find out how to use the Bloomberg terminal
    computer system to trade stocks. Read More »; ... Rate data provided by. ...

  • Debt Ratios: Overview Of Debt | Investopedia

    http://www.investopedia.com/university/ratios/debt/ratio1.asp
    ... Beginner's Guide To The Bloomberg Terminal. Find out how to use the Bloomberg terminal
    computer system to trade stocks. Read More »; ... Rate data provided by. ...

  • Top Things To Know For An Investment Banking Interview

    http://www.investopedia.com/articles/financialcareers/10/investment-banking-interview.asp
    ... by the fixed income required rate of return. ... which are easily available through the
    Bloomberg terminal. ... outstanding provides the firm's market capitalization. ...

Related Articles

Bank Rates
Product Today Last Wk
$10K MMA 0.50% 0.51%
MMA 0.45% 0.46%
6 Month CD 0.46% 0.47%
1 Year CD 0.70% 0.75%
5 Year CD 1.46% 1.46%
1 Year Jumbo CD 0.66% 0.67%
Rate data provided by Bankrate
Product Today Last Wk
$30K HELOC 4.59% 4.60%
$30K Home Equity Loan 5.74% 5.77%
$50K Home Equity Loan 5.45% 5.50%
$50K HELOC 4.24% 4.24%
$100K Home Equity Loan 5.41% 5.46%
$100K HELOC 4.13% 4.13%
Rate data provided by Bankrate
Product Today Last Wk
30 Year Fixed 3.80% 3.80%
15 Year Fixed 3.09% 3.11%
1 Year ARM 3.54% 3.53%
30 Year Fixed Jumbo 4.38% 4.38%
5/1 ARM 2.65% 2.69%
3/1 ARM 2.69% 2.69%
Rate data provided by Bankrate
Product Today Last Wk
60 Month Used Car Loan 4.51% 4.51%
48 Month Used Car Loan 4.35% 4.35%
48 Month New Car Loan 3.24% 3.24%
36 Month Used Car Loan 4.34% 4.36%
36 Month New Car Loan 3.11% 3.13%
60 Month New Car Loan 3.35% 3.34%
Rate data provided by Bankrate
Partner Links