We’ve been discussing CapEx as of late. We’ve defined what it is, namely the amount spent on big-ticket depreciating items such as roofs, flooring, appliences, HVAC, etc. Additionally, CapEx is a line item in our underwriting of income-producing investments real estate which tracks the money we set aside for future such repairs.
CapEx is a loaded subject – there is definitely more to it than what is immediately apparent. In today’s video you will learn how folks are using CapEx to inflate value of assets…this is big deal!