Carry Costs

Definition

Ongoing expenses while holding a property (mortgage, insurance, taxes, utilities), the bleeding-money-while-waiting expenses.

Example Usage

We're deferring the renovation to minimize carry costs during the vacancy period.

Origin

Real estate investment terminology, derived from financial 'cost of carry' concept

Fun Fact

Carry costs can be $2,000-5,000 monthly for a single-family home in high-cost areas.

Source: Real Estate Investment Analysis

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base rent

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triple net lease

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driving for dollars

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kickout clause

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