Key Industry Terms
What is an iBuyer?
An iBuyer is a company, investor or group of investors that use technology to make an offer on your seller's home within minutes (or days), sight unseen, based on a proprietary valuation model. If your sellers choose to accept the offer, they can ...
What is Gross Rental Yield?
This is a method to evaluate or compare properties quickly. The Gross rental yield for your rental property is its annual rental income divided by your property’s value/price (multiplied by 100 to get the percentage). The property’s price is ...
What is a Cap Rate?
The capitalization rate (also known as cap rate) is used in the world of commercial real estate to indicate the rate of return that is expected to be generated on a real estate investment property. This measure is computed based on the net income ...
What does 70-80% of ARV mean?
So here’s an example of an actual eXp CLOSED transaction: Property listed in the MLS at $300,000 - After Repair Value (ARV) of the property (once totally rehabbed and pristine) is $415,000 - this also represents the top sold comparable in the ...
What does After Repair Value (ARV) mean?
The After Repair Value (ARV) estimates the future value of a distressed property after it's been repaired or improved. ARV is commonly used by fix and flip investors who purchase, renovate, and sell properties within one year. A property's after ...
What is a Buy Box?
The Buy Box is the investment criteria that the iBuyer is looking for. The Buy Box covers one or more counties in a state. Read the Buy Box carefully to make sure that the property that you want to submit fits it exactly. Our ExpressOffers platform ...