What is the term for the money a property generates before expenses are deducted?

The term that refers to the money a property generates before expenses are deducted is indeed Gross Operating Income. This figure represents the total income generated from a property, such as rent from tenants, parking fees, and other sources of income, without accounting for any operating costs or expenses.

Gross Operating Income is crucial for assessing the potential financial performance of a property. It provides a comprehensive measurement of income that can inform investors and property managers about the gross cash flow that the property can produce. It serves as a starting point in the financial analysis and is often the first step before calculating other important figures such as Net Operating Income, which would deduct operating expenses from the gross figure.

Net Operating Income, while a vital metric in real estate valuation, is not the correct term in this context because it reflects income after deducting operating expenses. Capital Gains pertains to the profit that results from the sale of a property rather than income generated from its operation. Debt Service refers to the payments made to service a loan on the property, which also does not directly relate to income generation. Understanding these distinctions is essential for anyone involved in real estate valuation or investment analysis.