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How to use
- Enter Potential rent.
- Enter Concession rate %.
- Calculate, then verify which items are included in the definition before comparing.
How it is calculated
Concession loss = potential rent × concession rate ÷ 100
Example
Potential rent 120,000 with 5% concessions means 6,000 loss and 114,000 before vacancy or credit loss.
Important notes
Do not mix concessions with vacancy: a unit can be occupied at reduced rent. Separate price effects from occupancy effects.
Worked examples and interpreting results
| Case | Calculation | Result |
|---|---|---|
| Concession loss | 120000 × 5 ÷ 100 | 6,000 |
| After concessions | 120000 − 6000 | 114,000 |
Frequently asked questions
Does a free month count as a concession?
It can be converted to a monetary value and included when that matches your analysis definition.
Are these rates legally required?
No. This is a general math tool; actual fees, rates and rules vary by contract, provider and jurisdiction.
How should two scenarios be compared?
Use the same period and cost definitions, and change one variable at a time where possible.