Value-Add Apartment Investing: Renovation Premiums, Unit Turn Schedules, Rent Uplifts, Expense Ratios & Refinance Proceeds
Underwrite a value-add apartment building: renovation cost per unit, which units turn when, the rent premium you need, expense ratios before and after, and what a refinance could return to investors, with every cell checked as you go.
One-time payment · lifetime access · lessons, labs, exam and certificate included · no subscription.
About this course
In this course you underwrite a fictional 24-unit apartment building from purchase to sale. You summarise the rent roll by unit type with SUMIFS, find the loss to lease, compare renovation packages on return on cost and build the budget with XLOOKUP and a contingency. You schedule the turns with EDATE and COUNTIFS, model the lease-up and effective gross income month by month, budget per-unit, fixed and percentage expenses and compute the expense ratio and NOI uplift. You value the building with cap rates, size a refinance by LTV and DSCR with PMT, and finish with IRR, equity multiple, a sensitivity grid and a cash flow chart.
Lessons
- Unit Mix & In-Place Rents: The Rent Roll and the Gap to Market Pro
- Renovation Scope: Cost per Unit, Rent Premium & Return on Cost Pro
- The Turn Schedule: Lease Ends, Downtime & Units per Month Pro
- Lease-Up of Renovated Units: Rent Uplift, Vacancy During Works & EGI by Month Pro
- Operating Expenses: Per-Unit, Fixed & % Lines, Expense Ratio and NOI Uplift Pro
- Value Creation: NOI ÷ Cap Rate, Yield on Cost & Value Added Pro
- The Refinance: LTV and DSCR Limits, Cash Returned & Equity Left In Pro
- Hold-Period Returns: IRR, Equity Multiple, Sensitivity & the Cash Flow Chart Pro