Present Value vs Future Value

 

Future Value trumps Present Value almost all the time. 

 

In real estate and real estate investing, which is more important?  Knowing the future, or knowing what is going on today?  Which would you rather have, a stocks price today, or it’s value in 24-months?  Which would you rather have, today’s Wall Street Journal, or next years issue?

 

The future trumps, the present almost all the time.  Future Value trumps Present Value.  And the future is most important to you.  The trick is not just knowing the future, but also how to apply this expert knowledge to reduce risk and make more profits. Once you know the future, and the confidence numbers of the Micro Market forecasts, it is a lot easier to find deals and real estate investments.

 

Present Value (PV) compared to Future Value (FV)

  • Present Value systems or appraisal are some times is inflated
  • Present Value plus the assumption that values will go up = HUGE RISK
  • Present Value Systems have NOT Reduced Risk

 

What are the top 4 criteria that affect Present Value and Future Value?

 

The core question to ask is: What affects the future price changes of real estate?  Is it features of each property? 

 

 

How do you quickly filter next? Easy to filter, once all the trends and forecasts are in the database.

 

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