Splitting the baby

08/08/2023 5 min Episodio 45
Splitting the baby

Listen "Splitting the baby"

Episode Synopsis

Let's imagine you're selling your house
When someone wants to buy it from you, they have to pay you money.
sometimes there's a disagreement about how much money should be paid
we need to figure out the right amount in a fair way
There are two special tools that are used to figure out the fair amount of money
One is called the "cost of equity," and the other is the "safe rate."
Cost of equity: would be suitable if your house was part of a larger property or real estate market
considering factors like how much the property value changes over time and the extra profit people expect for taking on the risk of owning property