The purpose of this paper is to explain the derivation of the years purchase (YP) quarterly in advance formula.
This education briefing is an overview of the YP quarterly in advance formula in the context of the UK real estate market.
Whilst arithmetically more precise than market practice it lacks a compelling reason to be adopted in its place.
Understand the effect on stated yields of using annually in arrears, rather than quarterly in advance, assumptions.
This is a review of existing models.
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