- How do private equity and real estate professionals build financial models to analyze whether to invest in a multi-family property?
- What are the key inputs, forecasting drivers, and outputs in those models?
- In this online, video-based 2-hour course, you will learn how a real multi family model is constructed and used to generate key investment insights.
Modeling Multifamily Real Estate
Designed for investment banking, PE and real estate investment professionals, you will learn how professionals underwrite and analyze multi-family properties in order to evaluate investment opportunities and drive valuation.
Real World "On the Job" Multifamily Real Estate Modeling
What You'll Learn
- Using a typical offering memorandum (OM) to extract key detail used in the model
- How historical financials drive the pro-forma
- Projecting top-line revenue performance (effective vs. gross rent)
- Modeling occupancy/vacancy loss, non-revenue units, and uncollectible rent assumptions
- Getting to NOI: Projecting the most common operating expenses
- How to underwrite capital expenditures (defensive vs. offensive)
- How to calculate levered returns
- Modeling the key equity and debt metrics in mult-family real estate (Yield-on-cost, Cash-on-cash yield, DSCR, and debt yield)
- Understanding value allocation
- Modeling Sources & Uses
- Constructing the NOI and Returns Summary tables
- Sensitizing key outputs to frame purchase price ranges for a multi-family real estate property
- Typical return profile for a multi-family
- Financial due diligence: Sales comparable and market surveys
Wall Street Prep’s Modeling Multifamily Real Estate is used at top financial institutions and business schools.
This course does not assume a prior background in Real Estate. However, this course is taught at a fast pace and those who enroll should have an introductory knowledge of accounting (e.g. interaction of balance sheet, cash flow, and income statement) and proficiency in Excel. Students with no prior background in Accounting should enroll in the Accounting Crash Course. Students with limited experience using Excel should enroll in the Excel Crash Course.
Taught by bankers
Our instructors are former investment bankers who give lessons real-world context by connecting it to their experience on the desk.
Used on the Street
This is the same comprehensive course our corporate clients use to prepare their analysts and associates.
Macabacus Excel Plugin
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The Wall Street Prep Quicklesson Series
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