> For the complete documentation index, see [llms.txt](https://guide.binaryx.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://guide.binaryx.com/construction-investments/token-price-and-profitability.md).

# Token price and profitability

There are 2 measures of profitability in every property - **ROI** and **APR**.

**ROI** (Return On Investment) is the return on investment, which shows your total return on investment as a percentage.

**APR** (Average Percentage Rate) is the average annual return on your investment. 

The price of each fraction (token) of the property under construction is not equal. Each **next token is more expensive than the previous one.** 

The token price increases smoothly throughout the fundraising period. **After the end of the down payment collection (the first fundraising stage), it rises by 5%**. 

<figure><img src="/files/A8pKwUfcRukPjpNdv8mB" alt="" width="563"><figcaption><p>Example of construction token price growth </p></figcaption></figure>

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This token pricing mechanism was explicitly designed to fairly distribute the level of returns between early and late investors. **The earlier an investor buys tokens, the lower their price — and the higher the return on completion**.&#x20;

<figure><img src="/files/zmoCHplKX5etI9gxOTOT" alt="" width="563"><figcaption><p>Example of token price growth</p></figcaption></figure>

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***Example:** At the beginning of investment collection, the first token purchased by Villa A under construction costs $32. The price of the second token is $32.0005, the third token is $32.001, the tenth token is $32.005, and the hundredth token is $32.05. The last (10,000th) token will cost $37. As we can see from the example, the difference in the price of the first and the previous token is 15.6%. The price of tokens and their growth will be individual for each property.*

***The price of a token** after construction and the sale are completed will be $45. Investors will receive this amount per token when the facility is sold.*&#x20;

When the construction is completed, and the property is sold, the income is evenly distributed among investors. For example, each token pays **$45** regardless of the entry point and purchase price. Therefore, **profitability indicators for each investor will be individual: they will depend on the entry point and the number of fractions purchased**.&#x20;