Discount rates for real estate investments

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Discount rates for real estate investments currently range from 3 to 25%, compounded annually. you intend to purchase a raw piece of land on the fringe of suburbia in the hopes of selling it to a developer 10 years from now for 10,000,000. you estimate that carrying costs will be 10,000 per year. how much should you pay for it?

Reference no: EM131455988

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