It is a tough questions to answer, it has to depends on what are they comparing too? Just purely number of properties? Comparing the quantities or qualities?
Look at the 6 investors portfolio below:
Investor | # Property | Loan Size | Cash Flow | Networth |
---|---|---|---|---|
A | 10 | $1M | $10000 | $1.3M |
B | 5 | $500K | $5000 | $650K |
C | 4 | $750K | $5500 | $1.0M |
D | 3 | $1M | $1000 | $2.0M |
E | 10 | $2.1M | $2000 | $1.5M |
F | 7 | $2.8M | $500 | $4.0M |
Which one would you prefer? Obviously if is very hard to choose from right?
Would you prefer investor A or Investor F?
Is there any different from Investor A Vs Investor B?
Which one is the riskiest investor?
Which investor has the most sustainability portfolio?
If someone just comparing the number of property, Investor A and Investor E has the same number of properties which is 10. Investor E has higher loan size and also higher networth. But the Cash flow for Investor E is lower.
As such, if someone just compare the number of properties own, is it good enough?
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