A REIA Report Proforma is a comprehensive analysis of a specific property’s potential financial performance. It should be used in cases where: the property to be purchased has no current or limited income and expense data available; when the property is going through extensive updating; or where there is a change in use. The customized analysis is conducted using common marketplace projections for income and expenses along with conservative industry standards and the investor’s return-on-investment criteria.
A few Benefits of a REIA Report Proforma Analysis
Analyze financial performance based on actual and projected income
Analyze financial performance based on future income
Use to compare potential between like projects
Make better buying decisions and keep from making bad ones
Provides maximum offer you can pay Seller for property
Provides data in support of loan value to lender
Provides an "at-arms-length," third party analysis of the property- which is important to both buyer (wouldn't trust seller's personal report), seller (wouldn't trust buyer's personal report), and lender.
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 training.
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 Proforma: 1) does 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 and proforma data to “prove” to that your offer is a good one- one supported by actual and reasonable property expense and income 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 investor, 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 Proforma Analysis cost? REIA Report Proforma starts 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 Proforma Analysis?
Call Max Wilson at 724-816-4999 to discuss your situation, investor needs, or request a copy of a REIA Report Proforma Analysis.