An investor buys a condo in Des Moines priced at $140,000. The investor finds a...
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An investor buys a condo in Des Moines priced at $140,000. The investor finds a tenant who agrees and signs a step up lease to rent this property. His rents will start at $1200 per month for the first year and increase by $100 each year for a period of 3 years. The investor sells the property at the end of 3 years for $130,000. If the required annual return to the investor was 8.4%, what was the NPV of this investment deal? (State your answer rounded to 2 decimals)
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