This map demonstrates how Beta analysis can be adopted by residential real estate asset management, which answers a few important questions. What is the risk of your assets? How does its performance compare to the market?
In the map you will find a few critical metrics to answer those questions:
Historical return (rent and capital gain) and volatility;
Rental yield for patient investors;
Residential Beta at postcode level;
Performance indicators: Treynor's Ratio and Jenson's Alpha.
The market average return and risk for Berlin in the past 12 years are: 17.3% and 5.3%(sd).