I personally think it's essential to get the most bang for your virtual buck.
To do that, first you must know the cost and return of properties.
All properties have an initial cost that goes up by 10% of the initial cost for each number of properties.
x is the initial cost, y is the number of properties already owned, giving you z the cost of this property.
X(1+(.1*y))=z
The return on the property is a fixed amount.
To find which properties are the most valuable, you must determine how long until the property pays for itself, and starts earning a profit.
A simple formula allows you to determine when the property is earning profit.
(cost of property)/(return) = pay periods until you're earning profit.
For example when you buy your first parking space for $3000, earning you $25 every hour (or every 50 minutes if your a bankroller). It takes (3000/25)= 120 pay periods until you earn profit. This as it turns out, is one of the most profitable investments.
All this is just a rather long winded way to say, that you want a property that doesn't take long to pay for itself, making it a good investment.
I've created a chart to look at as reference for which property you will be most lucrative for your investment.
http://i32.photobucket.com/albums/d25/skpstein/Picture7.png
Hope this is helpful.
More to come.
1psn3
I like your analytical approach. I, too, use spreadsheets to figure out which real estate investment to purchase next. I simply use return/cost (at that moment) for each investment to determine which is gives the best bang for the buck at that time. Then as the prices go up with each purchase, a new property becomes the best deal.
ReplyDeleteReally, if you took your "pay periods to return investment" numbers and ranked them, it would be similar to my analysis. (You would buy 2 parking spaces and 2 Gas stations before you would buy the first used car lot).
Your street race analysis is great - very helpful.
Illegal engine mods, what mission to loot em?
ReplyDeleteHow do I unlock demolition derby tickets and stolen cars parts?
ReplyDelete