Skip to content
×
PRO
Pro Members Get Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
$0
TODAY
$69.00/month when billed monthly.
$32.50/month when billed annually.
7 day free trial. Cancel anytime
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
Multi-Family and Apartment Investing
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated about 10 years ago,

User Stats

2
Posts
0
Votes
Nate Byer
  • Wichita, KS
0
Votes |
2
Posts

What is Pro Forma on a flyer/pamphlet telling me

Nate Byer
  • Wichita, KS
Posted

I am looking at some commercial apartment complexes in my area.   I am still in exploratory stages but wanted to understand if asking prices on a couple of deals in my area were worth exploring.

On the pamphlet/flyer for the property it gives me a 2014 Pro forma of $32,280. Is the $32,280 stating the proposed 2014 NOI or something else.

In the book, Rich Dad Advisors: ABCs of Real Estate Investing: The Secrets of Finding Hidden Profits Most Investors Miss by Ken McElroy, he says to evaluate a commercial/multi-unit property and asking price by taking your NOI/cap rate and that should be your offer price.

I understand that you would have to get real NOI calculated by actual data to do a real life offer but wanted to do some analysis first before getting actual data to see if any were in the ballpark. So what is the 2014 Pro forma telling me in this example?

Loading replies...