Basic information on the available cash flow to repay loan

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You are buying a property and are considering taking out a 7% loan amortizing at a 30-year rate with monthly payments. Your first evaluation of the property indicates that it will have an NOI of $1,000,000 per year.

What is the maximum conceivable amount that might be loaned on the property, given this basic information on the available cash flow to repay the loan?

Reference no: EM13850598

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