The evaluation of the profitability of residential property enterprises (RPE) is an important tool in decision taking regarding their economic-financial viability. This study discusses this subject, through a four-variable analysis (selling price, selling time, building costs and construction schedule) and the influence of these variables on the profitability of a RPE, with the aim of formalizing the monitoring of these variables. The method used was divided into three stages: the first was the analysis of the economic viability of a RPE/case study, the second the formulation of scenarios, and the third the analysis of the sensitivity of the variables in relation to the minimum profitability expected. It was obtained as a result, besides the development and presentation of a method for the analysis of the profitability of a RPE, the verification of the intensity with which the internal rate of return was affected by the study variables. It is highlighted, in conclusion, the importance of the use of a method which contributes to the monitoring of the profitability during the selling and construction period and a knowledge of which variables have a greater influence on the internal rate of return.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.
hi@scite.ai
10624 S. Eastern Ave., Ste. A-614
Henderson, NV 89052, USA
Copyright © 2024 scite LLC. All rights reserved.
Made with 💙 for researchers
Part of the Research Solutions Family.