CAPS Study Guide 2026

Gross potential rent represents 100% occupancy at current asking or market rents, serving as the benchmark from which vacancy loss and concessions are subtracted to reach EGI.

The make-ready process encompasses cleaning, repairs, painting, and inspections performed on a unit between tenancies to return it to rentable condition.

A PMS is the core operational platform integrating leasing, resident management, accounting, and maintenance workflows across all portfolio properties.

Resident portals allow self-service maintenance request submission with real-time status updates, reducing leasing office call volume and improving resident satisfaction.

Owners typically have goals related to the performance and value of their real estate portfolio, such as property renovation, cash flow generation, or selling property. "Rate of interest" refers to the cost of borrowing money or the return on an investment, which is a financial metric related to a portfolio but not a direct goal for the portfolio itself. Owners aim for high cash flow, increased property value, or strategic dispositions, which are influenced by interest rates, but the rate itself isn't the goal.

High days-on-market indicate a unit is not leasing at the expected pace, which may signal overpricing, marketing deficiencies, or physical condition concerns.