All Forum Posts by: James LaFarr

For repairs, do you use a percent of gross rent or do you use a flat number, like say $100 per unit? To me, it seems to make more sense to use a flat number since repairs don’t seem like they’d cost more in a 1000 sqft home that rents for $1800 than one of the same size that rents for $1200.

@Bill B. If the listing lists the NOI do you go by their NOI? Or do you calculate it yourself even if it is listed?

@Joe Villeneuve Do you not worry that they fudged some of the numbers? Or aren’t counting some of the things that you would count under expenses? EX. Not counting maintenance under expenses 

When analyzing a property on a site like LoopNet, do you use their NOI that the seller has listed, or will you calculate your own NOI using the 50% rule or something similar to analyze it?

How strict are banks on the requirement of net worth being >= loan amount for commercial loans? is there a way to bypass it without having a partner?