NSR, quality/bonds makes sense to me; I translate it to mean occupany rate, etc.
DLJ, yep, expected growth rate in the valuation formula is a big difference maker. Yep, if two properties have different rent growth prospects, big difference in value, I agree.
Bugs, for our future personal residence purchase, I’d love to have two triggers: (1) one based on timing, that NODs are decreasing, employment and home sales are increasing, thus, prices will soon be rising; (2) one based on fundamental value, that the price-to-rent ratio is back in line with historical norms. Nothing more.
Folks have been very thoughtful and helpful. NSR’s comment that SFRs are uncommon rental properties, and that multiples, if appropriate, could vary widely given the variability in lot size, ocean view or not, attractiveness of the street/neighborhood, etc. is good food for thought for me.
