I just published my next eBook, “Millions in Nothing Down Real Estate“. This book is a very simplified version of my “How to Pyramid Your Equity to Create Wealth and Financial Freedom” (click here). My latest eBook focuses on generating wealth through passive income by buying income properties with Nothing Down (no cash out of your […]
The valuation of income properties is directly tied to the cost and structure of financing. Real estate is a “borrowed money” business. As interest rates rise, the capitalization rate required to service the debt for a purchase or refinance also rises, and thus the valuation falls. As the valuation falls, existing debt Loan to Value […]
I just wrote an article about my preferred structure for structuring the equity financing with senior equity, preferred equity, and common equity. A syndicator that raises private equity may consider an equity waterfall that is similar to a combination of debt and equity. Treat the senior equity like a 1st lien and the preferred equity […]
I just added a new article on the correct way to calculate the Capitalization Rate (CAP) according to the cost and structure of financing. An income property is generally valued on its cash flow, either the current cash flow or the anticipated future cash flow after repositioning. The valuation of the cash flow is calculated […]
I just made a major update to the very affordably priced “Introduction to Income Valuation and Syndication” course. With the sophisticated macro-enabled Excel 2007 ProFormaStabilized.xlsm spreadsheet, you can now generate a multi-page PDF presentation package for syndicating to your private financiers or for submitting a loan request to a commercial lender. There are several tutorial videos […]
I added a powerful spreadsheet for calculating and generating invoices for the Ratio Utility Billing System (RUBS). There are 2 video tutorials showing how to use the spreadsheet and how to generate the mail merge templates. The spreadsheet supports unlimited number of residents, you can bill pro-rated for electric, gas, water, sewer, or any combination […]
I just uploaded a major update to my course “Introduction to Income Valuation and Syndication” (at http://bit.ly/itivas-1) that updates the ProFormaStabilized.xlsm spreadsheet and a new video tutorial for generating a PDF finance package. You can watch the YouTube version of the video by clicking here.
The course is updated with more improvements for the MasterLeaseAndOption.xlsm and for the ProFormaStabilized.xlsm spreadsheets. A new video tutorial is added for demonstrating how to perform “what if” calculations on actual operating data. Check out the course by clicking here. You can review the product update history by clicking here. Thank you for your support!
A quick note that I just updated the ProFormaStabilized.xlsm spreadsheet to include an “actual data” input column and a “Seek Actual” button. The button calculates the required gross Return on Equity (ROE) and net cash flow required for the specified actual operating data. Now you can use the spreadsheet to calculate a required Capitalization rate […]
I just watched yet another “Personal Finance Guru” on cable TV who recommends NOT to invest in rental income properties, but instead to invest in municipal bonds, claiming that such debt instruments are paying 5% to 6% tax free and are much safer than rental properties. To use the guru’s favorite retort, “Are you kidding […]