What is real value in SAP RE - Real Estate Management?

SAP Term: real value

• Component: RE

• Component Name: Real Estate Management

• Description: The value of undeveloped and developed land. Real value consists of: Land value Building costs of structures Value of other improvements

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• Key Concepts: 
  Real value is a term used in SAP Real Estate Management (RE) to refer to the current market value of a property. It is calculated based on the current market conditions and the characteristics of the property. The real value is used to determine the rental rate for a property, as well as for other financial calculations. 
  
  How to use it: 
  In SAP RE, real value can be used to determine the rental rate for a property. This is done by comparing the real value of the property with the rental rate that is currently being charged. If the real value is higher than the current rental rate, then the rental rate can be adjusted accordingly. Additionally, real value can be used for other financial calculations such as calculating depreciation or determining capital gains. 
  
  Tips & Tricks: 
  When calculating real value, it is important to consider all relevant factors such as location, condition of the property, and current market conditions. Additionally, it is important to keep in mind that real value can change over time and should be updated regularly. 
  
  Related Information: 
  For more information on SAP RE and real value, please refer to SAP's official documentation on Real Estate Management. Additionally, there are many online resources available that provide more detailed information on how to calculate real value and use it in SAP RE.