Intrinsic value of a property: DCF, cap rate and replacement cost
Know the real value.
Three professional valuation methods, a clear value range and a safety margin: Hom24 tells you what the property is really worth, not just its price.
See it before you sign up
Five screens from the Intrinsic Value tab, captured as-is on the $675,000 Montreal triplex from the Analysis page. The verdict: it is worth $789,708, a 14.5% safety margin on the asking price.
The verdict, with its math open
A value, a gap to the asking price, and the calculation unfolded right below it: each method's contribution, the price subtracted, the resulting margin. Nothing is taken on trust.
Three methods, three amounts
Discounted cash flows $856,389 (weighted 50%), market cap rate $744,618 (40%), replacement cost $636,667 (10%). Each one explains itself line by line: the NOI, the rate used, the terminal value, the building's wear.
A range, not a single number
Conservative, realistic, optimistic: $682,998, $812,954 and $1,009,977 on this building. Each scenario replays the whole calculation with its own assumptions — it is not an error margin added afterwards. Two markers locate the asking price and the value retained.
What time does to money
Net income projected over the chosen horizon, each year shown gross and discounted. The gap between the two bars is exactly what waiting costs.
The shock that hurts most
One point of rate added, one point of vacancy, one point of rent growth removed: the tornado ranks the three shocks by their real effect on value. On this file, the rate weighs heaviest.
Value, not just price
Hom24 values the property like an appraiser, then compares it to the asking price.
3 combined methods
Discounted cash flow (DCF), market cap rate and replacement cost, weighted automatically.
Value range
A conservative, realistic and optimistic estimate to frame your offer instead of a single number.
Safety margin
The undervalued or overvalued verdict, with the percentage gap between value and asking price.
Built-in stress test
Measure the impact of a rate hike, a vacancy or a rent drop on the value.
A value is only as good as its assumptions
No number falls from the sky. Income comes from your analysis, the cap rate is suggested then editable, and the risk profile shifts the whole calculation one notch. You see what you change.
A score that names what is missing
A confident valuation built on holes is worth nothing. Hom24 scores the quality of what you entered and names every gap, instead of returning a smooth number.
When the price exceeds the value
The verdict is not an opinion on the building: it is a gap between its value and its price. The same triplex listed at $925,000 turns red, with no other assumption touched.
The app dresses the way you want
The screenshots on this page are in Desert. The app offers four styles, picked at sign-up and changed whenever you like. Here is the same value in each one.
Fair value in 3 steps
Enter the income, Hom24 applies the valuation methods and computes the range.
Enter the data
Gross income, expenses, area and risk profile of the property.
Hom24 values it
DCF, cap rate and replacement cost are computed and weighted with the market context.
Compare to the price
Read the range, the safety margin and the verdict before making your offer.
Offer the right price, not a dollar more
Estimate intrinsic value for free. No credit card required.