KDvärde
KDvärde, also known as K-value, is a concept used in Swedish real estate valuation. It represents the capitalized value of a property's net operating income. Essentially, it's a multiplier that relates a property's annual rental income to its market value. The KDvärde is calculated by dividing the annual rental income by the market value of the property. For example, if a property generates an annual net rental income of 100,000 SEK and its market value is 2,000,000 SEK, the KDvärde would be 0.05 (100,000 / 2,000,000). Conversely, it can be expressed as the inverse, where the market value is the rental income multiplied by the KDvärde. In the same example, if the KDvärde is considered 20 (the inverse of 0.05), then the market value would be 100,000 * 20 = 2,000,000 SEK.
The KDvärde is an important tool for investors and property valuers in Sweden. It helps to quickly