On the way to Sherlock-ing the best deals, let's get onto our next step of the process of due diligence which is to: 💰Analyze Financial Statements & Projections📊 This step involves a thorough examination of the property's financial performance, both historical and projected, to assess its potential return on investment. Here are some key aspects to consider when analyzing financial statements and projections: Income and Expense Statements👇 Review the property's income and expense statements for the past three to five years to understand its operating performance and cash flow. Rent Roll & Capital Expenditure Analysis👇 Evaluate the rent roll, which provides detailed information about each unit's rent, lease terms, and occupancy status. Assess the property's capital expenditure history and projected capital needs for renovations, upgrades, or major repairs. Debt Service Coverage Ratio (DSCR)👇 Calculate the DSCR, which measures the property's ability to cover its mortgage payments from its net operating income. Exit Strategy Analysis👇 Evaluate the potential exit strategies, such as selling or refinancing the property, and study the projected returns and cap rates based on the property's expected value at the time of exit. By thoroughly analyzing financial statements and projections, investors can gain insights into the property's historical performance, assess its current financial health, and evaluate its potential for generating desired returns. Will catch up with you tomorrow with the third step! #realestate #commercialrealestate #multifamilyinvesting
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Your rent payments can be a secret weapon for boosting your credit score. By reporting your on-time payments to credit bureaus, you're sending a clear message to lenders: "I'm a responsible financial individual." Many renters have seen amazing results, with some even increasing their credit score by 32 points in just 7 months! So, next time you pay your rent, remember that you're not just fulfilling a financial obligation, you're also investing in your financial future. For more information on how to make your rent payments work for you, consult Realtris Inc #realtrisinc #torontorealestatebroker #torontorealestatenews #torontorealestatelife #torontorealestateinvestor #torontorealestatephotographer #downtowntorontorealestate #rentcanada #canadahomes #homes #canadahomes
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There are an endless variety of ways to invest in real estate, from taking out a home mortgage to building a property empire that spans the country. While the latter is probably out of reach for most of us, there’s no shortage of other options. Here are 5️⃣ strategies for adding real estate exposure to your investments - https://bit.ly/3RyiQzP
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