Blog Detail
Real Estate Financial Modeling

Real Estate Financial Modeling

Real Estate Financial Modeling is a solution to your problem. To put it simply, Real Estate Financial Modeling refers to the process of documenting your company’s expenses and income on a spreadsheet. Such data is invaluable when it comes to calculating the future impact of an event or decision.Retransform understands this need and offers relevant services to support real estate businesses. We produce cash flow projections, budgeting and transaction analysis. We also can provide accurate and timely models of assets and transactions, forecasting property and portfolio cash flows.

How Real Estate Financial Modeling can help your business

  • Financial Modeling can help quantify your company’s operations in numbers
  • You use a model to evaluate your business and gain insight into how it’s performing with facts rather than opinion
  • Models are based on inputs and assumptions - you can pick the one that suits you best

Primary Examples of Real Estate Financial Modeling

  • Real Estate Acquisition Modeling: Acquiring and selling a property while making little to no change to it
  • Real Estate Renovation Modeling: Acquiring an existing property and making significant changes before selling it
  • Real Estate Development Modeling: Buying land to build a new property; finding tenants and then selling it upon stabilization

Pro tip

For real estate valuation, it’s critical to assess all the important factors specific to real estate. However, it is also important to decide the amount of time and resources spent.

Retransform & Argus

Real estate investors, asset managers and lenders utilize Argus software to prepare a cash flow analysis or operating proforma to assist with the evaluation and underwriting of commercial real estate assets. Real estate brokers and agents are being asked more frequently to provide this service as a part of their core service offering.

All we require is a rent roll, the most recent 12-month operating expense statement and our property information sheet populated with the assumptions you would like to use for the model.

The output you get is an Argus file along with a set of industry standard reports generated in Excel. You are also entitled to three revisions to be completed within two weeks of delivery of the first model.

Ready to put the numbers into place? Contact our team to find out more.