Professional Real Estate Investing

Establish investment assumptions and criteria by examining market cycles, financing, and entry strategies. Adapt plan using data, inflation effects, vacancy rates, and absorption rates to align with the investment horizon.

Explore the real estate market cycle across deceleration, contraction, recovery, and expansion, showing how property values move and how buyers, sellers, lenders, and investors respond.

Analyze historical real estate cycles by linking GDP-driven expansions and recessions to shifts in commercial property prices, investment volume, and REIT activity from 1998 onward.

Identify the current market phase using our cycle model, and adapt real estate investments to deceleration, construction, expansion, and recovery while avoiding excessive debt and seeking smart partnerships.

Learn how storytelling in real estate investing uses setting, characters, plot, conflict, and narrative arc to persuade investors with market data and opportunity.

Learn how inflation impacts real estate investing, from rents and borrowing costs to cap rates. Discover why apartments often provide the strongest hedge against rising prices.

Estimate property revenue losses by calculating vacancy rates and credit losses from rollover and absorption, then apply a discount to gross income to derive net revenue.

Learn how to set and adapt the investment time horizon for real estate, considering project type, investor goals, market cycles, and exit timing, with sensitivity analysis to optimize returns.

Model leases in Excel to project real estate investment returns by importing market assumptions, building rent schedules, and evaluating below-market leases with property upgrades and monthly income protections.

Import market assumptions to build the rent roll by modeling V1 and V2 leases, calculating pro-rated rents, and projecting future market rents for each apartment.

Model month-by-month rental income across leases, adjusting for inflation and project timelines. Aggregate rents, leasing commissions, and renovation costs, using vlookup to import data and validate results.

Learn to use an existing financial model to compute net operating income and convert monthly cash flows to annual cash flows, including investing, tax, and financing impacts.

Import assumptions to drive monthly cash flow through date and inflation projections, compute month-to-month and calendar month data, and use flags and checks to validate the model.

Compute net operating income from gross rents by subtracting vacancies and credit losses, then deduct operating expenses including refurbishments and leasing commissions to reveal the monthly cash flow.

Calculate cash flow from investing by detailing acquisition and capex costs, disposition, and related expenses such as broker fees and stamp duties in a monthly projection.

Explore how tax affects net cash flow by examining income tax, taxable income, depreciation, capital gains tax, and book value, with linear and accelerated depreciation examples.

Learn how to fund property acquisitions and service debt by sizing loans via LTV and debt service coverage ratio, and model cash flows to determine the maximum loan.

Analyze net cash flows and market-driven assumptions to assess profitability using present value and internal rate of return, aided by sensitivity analysis and market cycle awareness.

Convert monthly cash flows into an annual projection to visualize project performance, importing line items, aligning years with end dates, and evaluating CapEx, rents, vacancies, and disposition timing.

Learn to build a sources and uses schedule that tracks cash inflows and outflows for complex real estate projects, coordinating equity, debt, capex, and net operating income.

Learn how present value and internal rate of return relate through discounting future cash flows, then apply monthly or yearly IRR calculations in Excel to compare real estate investments.

Explore how investors use IRR, equity multiple, and cash on cash return, while weighing market cycles, capital expenditures, leverage, and debt service coverage ratio to grow wealth in real estate.

Run sensitivity analyses in Excel to see how rent and deal variables affect IRR and equity multiple using data tables, assessing worst and base cases across real estate cycles.