# Portfolio Value — Total asset valuation

Portfolio value is the Cap Rate denominator: it determines whether the NOI you generate is a good return on invested capital. High NOI on very expensive assets can be a mediocre return compared to other investment alternatives.

## Where to find it

Current market valuation of all your properties combined — from a recent appraisal, or estimate it with comparables from Properati/ZonaProp/QuintoAndar for your area.

## If it's off

A very low Cap Rate (< 4%) indicates the asset is expensive relative to the NOI it generates. In those markets, the investment thesis depends on capital appreciation, not cash flow. That is speculation, not operational real estate.

## LATAM Benchmarks

| Status | Range |
|---|---|
| Healthy | Cap Rate > 7% (secondary cities) |
| Alert | Cap Rate 5–7% (prime cities) |
| Critical | Cap Rate < 5% (overvalued assets or low NOI) |

## How to improve it

Compare your portfolio Cap Rate with your city market benchmark. If you are below it, the opportunity is in raising NOI (rents, collection, OpEx) rather than buying more assets at the same price.

Related metrics: [Physical Occupancy](https://www.uniteconomicscalculator.com/en/glossary/physical-occupancy.html) · [Collection Rate](https://www.uniteconomicscalculator.com/en/glossary/collection-rate.html) · [Monthly OpEx](https://www.uniteconomicscalculator.com/en/glossary/monthly-op-ex.html)

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