Free Excel Model · Acquisition
Simple Multifamily Acquisition Model
A 10-year acquisition model for a 60-unit multifamily property, from the unit mix and pro forma to the loan, sources and uses, and levered and unlevered returns. Every formula is live, so you can trace each number cell by cell.
- 60 units, 10-year hold
- 65% LTV loan
- Live formulas
What's inside
Model Features
- Unit mix and rent roll. Four unit types with square footage and monthly rents that roll up to potential gross income.
- Pro forma to NOI. Vacancy, concessions, bad debt, per-unit operating costs and a management fee, each grown every year.
- Debt and DSCR. A 65% LTV loan at 6.5% on a 30-year amortization, with annual interest, principal and debt service coverage.
- Sources and uses. Debt, equity, closing costs and the origination fee, tied out to the dollar.
- Exit and returns. A sale at a 6.5% exit cap on forward NOI, with unlevered and levered IRR, equity multiple and profit.
- Editable inputs. Change rents, expenses, leverage or the exit cap and the whole model reruns.
Learn
How to Learn With It
In the base case the deal buys at a 6.4% going-in cap rate and returns an 8.6% unlevered IRR, an 11.0% levered IRR and a 2.50x equity multiple. Start at the unit mix and follow Year 1 NOI all the way through to those returns.
Then change one input at a time, such as rent growth, leverage or the exit cap, and predict which way the IRR moves before you look. Once it clicks, rebuild the model from a blank sheet. That is the format of most timed REPE acquisition modeling tests, and our real estate financial modeling course walks through it step by step.
Free download
Download the Model
Enter your name and email and the Excel file is yours. Browse all free CRE models.