What is Financial Modelling?

 

Financial Modelling includes creating a detailed representation of the financial performance and viability, of a real estate project,  focused on the building and operations of  apartment complexes.  This process typically includes the analysis of various financial aspects to aid decision-making and attract potential investors.

Who Benefits?

  • You, the developer
  • Your partners
  • Your investors or potential investors
  • Your financiers
  • Your potential buyers

What Are The Key Benefits?

  • First and foremost – does the project “pencil out?”
  • Decision-making tool – helps attract potential investors
  • Other considerations:
    • Do returns meet partners or potential JV partners return objectives?
    • Are you comfortable with the worst-case scenario?
    • Have enough equity in the deal OR do you need more $$
    • Determine your maximum borrowing power.

To learn more about financial modelling , and all other steps of the Apartment Development Process, gain access to our Apartment Development Master Class Recordings today!