Discounted Cash Flow analysis can be carried out at both Portfolio and Property level and will reflect the characteristics of the Analyst Model to which it is attached.
Certain criteria will have an effect on the respective cashflows, and these are described below.
The default cashflow period is 5 years, this can be edited as described in Creating Models > Model Settings > Cashflow Options. The start date for a new cashflow will default to the date the model is set up.
The cashflow period can be subsequently be edited at any time.
For a DCF to produce meaningful results each Property must have a Purchase Date and Price and Sale Date and Price set up. This can be done manually i.e. independently of setting up Capitalisation Rates at Property or Unit level but is usually dependent on these having been already set up in the Model to enable a Purchase Price and Exit Valuation to be calculated.
Certain settings will affect the cashflows at Portfolio and Property level and these are noted below.
