Net Operating Income or NOI is a properties yearly Gross Scheduled Income (GSI) less all operating expenses.

Gross income includes both rental income and other income such as laundry, parking or garage rents and any vending receipts, any and all income associated with a property.

Operating expenses are all costs incurred during the operation and maintenance of the property. They include any and all repairs, maintenance, insurance, management fees, utilities, supplies, property taxes, etc.

The Net Operating Income (NOI) is one of two figures used to calculate the debt service coverage ratio (DSCR).

 

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