If you ever wanted to start a real estate brokerage or currently run one and want to play with new economic incentives / financial strategies, then this financial model will be a great tool to use. The spreadsheet goes out for a max of 10 years and shows all summaries on a monthly and annual basis. It is built in MS Excel.
The general template design was made to be easily followed / used with assumption configuration that is relevant to the real estate brokerage business. The user will be able to produce clean financial statement forecasts.
Final Output Reports:
- Monthly and Annual Financial Statements (Income Statement, Balance Sheet, Cash Flow Statement)
- Monthly and Annual pro forma detail (granular look at the assumptions on a monthly basis that drives down to EBITDA/Cash flow and shows KPIs)
- Annual Executive Summary
- DCF Analysis
- Cap Table (option for all owner equity or a joint venture)
- IRR, ROI, Equity Multiple Hurdles for project / investor pool / owner pool (if applicable)
- 10 Financial Summary Visualizations
Revenue Assumptions (two configuration modules with the following inputs):
- Start Month of Operations
- Expected # of Deals Completed per Month from Agents
- Increase in Deals per Month
- Average Deals Done per Agent per Month
- Average Sales Price (value in USD)
- Average Commission on Sale
- % of Sell Side Deals
- Share of Commission on Sell Side
- Commission Split (earned by brokerage)
- % of Buy Side Deals
- Share of Commission on Buy Side
- Commission Split (earned by brokerage)
Expense Assumptions (fixed/variable):
- Tons of slots of fixed costs (start month, description, monthly cost in each year)
- Variable costs are defined based on cost per agent per month (up to 5 slots per deal type) and this would be things like monthly marketing spend per agent and monthly software costs per agent.
- There is also a catch all cost module defined as a percentage of brokerage revenues
- Retail Building Construction
- Lot Development
- Apartment Building
- Strip Mall Acquisitions
- Single Tenant Industrial Real Estate
- Mobile Home Park (1 to 40 park ramp)
- Mixed-Use Real Estate
- Self Storage: Up to 6 Deals
- Rental Property Scaling
- Condo Development
- STRs (Short-term Rentals)
- Unit-Based Real Estate Acquisition
- Assisted Living Facility / Nursing Home
- Short-term Rental Arbitrage
- Hotel Development / Acquisition
- IRR Sensitivity Analysis (occupancy)
- Multi-family Real Estate Acquisition (annual only)
- Real Estate Flipping Calculator
- Property Management Business
- Real Estate Development
- Tenant Management System
- Real Estate Checklist
- Rental Property ROI Calculator
- Seller Financing
- General Cash Flow Waterfall: 3 IRR Hurdles
- General Cash Flow Waterfall: 3 IRR Hurdles and GP Catch-up Provision
- Preferred Equity
- Preferred Return
- Zero Down Seller Financing Acquisition Strategy
- Cost Segregation Study