Category: Real Estate
-
Occupancy Rate – How to Evaluate
Temporary housing includes hotels, motels, resorts, apartment complexes and rental homes. The number one tool to measure performance is occupancy rate.
-
Financial Leverage in Real Estate
Financial leverage refers to using a third party’s money to increase profit for the borrower. With real estate, the profit or equity in the property is the weight being lifted by the use of a lever (borrowing money) on the fulcrum (the property).
-
Replacement Reserves- Understanding the Fundamentals
Long and short term housing rental businesses use a financial operations tool to maintain, repair and upgrade the physical facilities. This tool is known as replacement reserves in the real estate industry. In almost all cases it is a contractual agreement requirement between the mortgage lender and the borrower.
-
Don’t Flip Them, Finance The Flip!
The rage in real estate for the last 17 years has been flipping houses. Simple tenet of buy low, fix it up and sell high – House Flipping Business Dynamics.
-
Landlord – Business Dynamics and Economics
I love the game of Monopoly. My sons enjoy playing it too. But we all have the same complaint about the game; it takes forever to accumulate all the wealth and ultimately win the game. Being a landlord means the same thing. It will take a long time to accumulate wealth. For those of you considering becoming…
-
Apartment Complex Profit and Loss Statement – (Revenue Section) Best Presentation Format
In the apartment complex industry I have had the privilege of reviewing four different presentation formats prepared by different Certified Public Accounting Firms.
-
House Flipping – Business Dynamics
There is a lot of misinformation about flipping real estate on the internet and on television. I’m mostly shocked by the lack of detailed information related to the entire cost of the project and the adjusted sales price.
-
Real Estate Agent – Drawbacks and Delusions
The highest prized benefit of owning your own business is independence. You rely on your skills and have to report to no one but yourself. This is the allure of becoming a real estate agent.