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What is driver-based forecasting?

Forecasting the component inputs (volume, price, occupancy, rent) rather than the outcome itself, so each number traces to a testable assumption and any miss can be diagnosed to a specific driver.

Where you will use it: this term comes up in the Real Estate Finance course, and the full course glossary collects every term in one place.

Related terms

From the free Real Estate Finance course by Devon Coombs, CPA, MBA.