How to vary Price of Property in Sensitivity Analysis and what changes automatically with it. The measure chosen determines which linked assumptions matter.

Before Debt IRR: varies price only — no loan considerations. Equity equals price at each step. Clean view of the unlevered return.

Before Tax IRR (after debt): the loan method determines what changes with price. Dollar amount loan — loan stays fixed as price varies; equity (down payment) changes at each price step. Loan to Value (e.g. 80%) — loan amount, loan interest, debt service, and loan balance at sale all recalculate automatically at each price step. Debt Coverage Ratio — loan is based on NOI not price, so loan stays relatively stable; equity changes as price varies.

Expenses linked to price: if any expense (e.g. property taxes) is entered as a percent of price, that expense also changes automatically at each price step — taken into account in the return calculation.

After Tax IRR: additionally recalculates depreciation if entered as a percent of price (e.g. 75% of price = building, 25% land). Both the depreciation deduction and the loan interest after tax change at each price step. All of these — price, loan amount, loan interest, depreciation, linked expenses — are recalculating simultaneously for every price tested. Understanding what is linked to price before running the sensitivity ensures the results are telling you what you think they are telling you.