Moving annual turnover (MAT) is a measure of the average turnover generated by a property over a period of time. It is calculated by taking the total turnover generated by a property over a period of time and dividing it by the number of months in that period.
MAT is a useful tool for property investors because it can be used to assess the profitability of a property investment. A higher MAT indicates that a property is generating more turnover, which can lead to higher
profits.
MAT can also be used to compare the profitability of different property investments. A higher MAT may indicate that a property is more profitable than another property.
Here are some additional applications of MAT for property investment:
Set rental prices: Investors can use MAT to set rental prices for their properties. A higher MAT indicates that a property is in high demand, which means that investors can charge higher rent.
Make investment decisions: Investors can use MAT to make
investment decisions. For example, an investor may decide to invest in a property with a high MAT in order to maximize their profits.
Monitor performance: Investors can use MAT to monitor the performance of their property investments. A decline in MAT may indicate that a property is becoming less profitable, which may prompt the investor to take action, such as increasing the rent or finding new tenants.