A REIA Report Investor Partnership is a comprehensive analysis of a specific property’s financial performance with critical financial data extracted and interpolated for up to three partnership entities For example: there may be multiple partnership entities that come together on the project with all partnership receiving different returns from the property. One person my put in all the fund and own 95% equity with all cash flows (may be LP) , tax benefits, appreciation, and principle reduction going to him/her while a property manager may retain 1% (may be General Partner)and a finder of the property receives 4% equity share for all their hard work (may be LP). The project can be as complex as investors and their lawyers can imagine.
The customized analysis is conducted using verified income and expense data for the property, conservative industry standards, and the investor’s return-on-investment criteria. Successful investors purchase this report before putting in an offer to assure that the property of interest
A few Benefits of a REIA Report Investor Partnership
Provides data that investors can use to keep them from making an investment that doesn't meet their minimum return requirements
Know exactly how each of the four pillars for building wealth in real estate contribute to net worth growth for a specific property
Reports return data based on percent ownership of each invested partner
Use this version of the report to analyze financial performance before (multiple times as new data emerges), during hold period, and after purchase.
Make better investment decisions based on the financial benefits of a property and investment return
Analysis that reports the maximum offer price to offer based on a lenders criteria of 1.2 DSCR and the investors required capitalization rate return
Analysis does much of the work for lender approval and support loan value to lender
Provides an unbiased, "at-arms-length," third party analysis of the property- which is important for both seller, buyer, and lender acceptance (sellers tend not to trust buyers report and visa versa).
Another BIG Benefit: All REIA Reports come with a FREE 30 Minute Strategic Review with Max Wilson. Although every REIA Report was designed to be easy to understand and use, there are many investors that are not always sure what all the numbers mean and how they impact buying, holding, and exit strategies. This review was created at the request of investors to help them get the most use out of the report and is driven by questions that the buyer or seller of the report has about the property, the numbers, what they mean, what are the most important numbers to look at (for them), and how to use the report to their advantage.
Additional Options: All options below cost $100 for hard copy or $200 for hard copy and 1/2 hour of consulting.
REIA Report Executive Summary- a separate five page summary that was requested by and designed to meet the need of busy lenders. Lenders reported being very impressed by the diligence provided in the full REIA Report Investor, but also reported that they did not have the time or energy to read such a comprehensive report before or during the initial meeting and needed a shorter version for review and to structure the conversation with the investor.
REIA Report Negotiation- a separate 6 page document designed to be used by an investor to structure the negotiation conversation between themselves and the seller. The price and terms of a property MUST always be negotiated when the financial performance presented in the REIA Report InvestorPartnership does: 1) not meet the investment return needs of the investor; and/or 2) the property is not performing as well as presented by the seller or their agent. The power of this report is that it uses the seller’s data to “prove” to them that your offer is a good one- one supported by their data.
Investor Financial Worksheet- This worksheet was created by synthesizing and reducing over 180 pre-qualification and loan applications from banks, mortgage brokers, and hard money lenders. The addition of this worksheet, transforms a REIA Report into a preliminary "business plan" for the project. By including profiles for both the property and the investors (person or entity), lenders will have ALL the information they need to make quick financing decisions about the project- thus reducing stress and time to close. Worksheet is completed by investor and provided directly to lender.
How much does a REIA Report Investor Partnership cost?
REIA Reports start at $250 for a single family residence, $300 for 2-4 units in one building, $400 for 5-10 units in one building, and $500 for 11-20 units in one building. As there are many configurations of multi-family residential properties, the cost for each report is dependent on number of buildings, number of units, supplemental reports added (short versions for banks and for-sale-by-owner negotiations), and the format you want to receive those reports in. Please call Max at 412-552-9811 with your properties configuration.
Have questions about REIA Report Partnership Analysis?
Call Max Wilson at 724-816-4999 to discuss your situation, investment needs, or to request an example of a REIA Report Partnership.