It does no good to place capital with a sponsor who has a project with an attractive pro forma to find out later they can't be trusted.

Real estate gurus teach: Only buy rental properties based on actuals (actual net operating income) not based on pro-forma (or projected net operating income).Although it sounds good and reasonable, after doing this since 1999 and having bought more than 1,000 apartment units, I have NOT bought a property based on the actual income the seller is getting (or has gotten while he/she owns the property) ever!

I'm looking for a pro forma or analysis tool that would help with this project.

I see 4-5% rent increases in pro-formas all the time.

There is a proven all cash buyer right there, simply contact them and form a relationship with them.Learning how to estimate rehab costs is not easy but it is also not rocket science, it just takes practice.

Two uniits with 3 bedrooms and 3 baths per unit.The pro forma for the property projects top dollar in the zip code.

. * Don't allow financing or a finance contingency (it can be a good indication they are selling above market value)* Don't allow for your own independent property inspection* Are not realistic with their pro forma's (i.e. they don't include vacancy or maintenance projections or use unrealistically low vacancy factors)* Require you to pay for any renovation upfront* Sell only in cheap. low end neighborhoods* Don't accurately represent the neighborhood/property classification* Don't have consistent rehab standards for all properties* Don't provide a scope of work for the property* Can't provide references of repeat investors* Require you to close before a tenant is in place

A pro forma puts cash flow at about $200/month for the building, but, since we house hacked, we just absorbed that into our regular spending with some regular savings for repairs and maintenance, etc.Come around to 2020, we (with our tenants help) have paid down 10 years on our 30-year conventional loan, held by Chase.

You definitely don't need to ever see the house, but the more information you have, the better you can form a deal.You should provide the best estimates you can for ARV and repair costs so that you can recognize and then present a good deal to your buyers. 

It does no good to place capital with a sponsor who has a project with an attractive pro forma to find out later they can't be trusted.