Annual operating expenses = annual taxes+insurance+utilities+HOA fees+lawn/pests+vacancy+repairs+property management  (i.e. does not include CapEx or mortgage)NOI = annual gross income-annual operating expensesCap Rate = NOI - purchase pricePro Forma Cap Rate = NOI / after repair valueCash on Cash ROI = total annual cashflow / total invested capitalTotal Initial Equity = (down payment + closing costs + estimated repair costs) + (after repair value - total cost of project)Gross Rent Multiplier = purchase price / annual incomeThat is a lot of formulas!

You need to form a team!

They also do a pro forma income on any property you have owned for less than 12 months and currently have leased out.

Do we need to form a LLC to buy Commerical Property Mortgage?

RE Agents quickly quote pro-forma but these aren't worth the ink to download and print. 

If you're talking about one large facility, (or any other, really) what I have seen is a very detailed pro forma done by companies that specialize in this particular field along with a pretty good market study of the area, and pretty solid assumptions.

I have also noticed that brokers are very unrealistic with their pro formas and they evaluate a deal based off where the market rent is and not what it is currently bringing in.

My significant other and I have decided to both obtain out real estate license so we can learn as much about real estate & the market and also quit our w-2’s to work in real estate full time (once we pick up some traction being realtors) we want to form a team together and jump into investing fairly soon. 

Also, don't look at any pro forma numbers on the fancy marketing materials.

Maybe they might be people you've met at a real estate investing meeting and you form a relationship with.