<p>Preface xiii<BR>Introduction xvii</P><p><STRONG>Part I: How to Analyze a Potential Real Estate Deal</STRONG><BR>1 Do your Homework: How to Gather the Data needed to Make an Investment Decision 3<BR>2 Financial Detective work Before you Buy: Finding the Truth Behind what the Seller is Telling You 9<BR>3 How the “time Value of Money” should Influence your real estate Investing Decisions 27<BR>4 How to estimate what an Income Property Is really worth 51<BR>5 Measuring the return on a real estate Investment 73<BR>6 Case studies: apartment, Mixed-Use, and triple-net Lease 107</P><p><BR><STRONG>Part II: Thirty-Seven Calculations Every Real Estate Investor Needs to Know</STRONG> <BR>7 Calculation 1: Simple Interest 145<BR>8 Calculation 2: Compound Interest 148<BR>9 Calculation 3: Rule of 72s 154<BR>10 Calculation 4: Present Value of a Future Cash Flow 156<BR>11 Calculation 5: Gross Rent Multiplier 160<BR>12 Calculation 6: Gross Scheduled Income (Potential Gross Income) 163<BR>13 Calculation 7: Vacancy and Credit Loss 166<BR>14 Calculation 8: Gross Operating Income (Effective Gross Income) 170<BR>15 Calculation 9: Net Operating Income 174<BR>16 Calculation 10: Capitalization Rate 180<BR>17 Calculation 11: Net Income Multiplier 186<BR>18 Calculation 12: Taxable Income 190<BR>19 Calculation 13: Cash Flow 202<BR>20 Calculation 14: Cash-on-Cash Return 208<BR>21 Calculation 15: Sale Proceeds 213<BR>22 Calculation 16: Discounted Cash Flow 218<BR>23 Calculation 17: Net Present Value 224<BR>24 Calculation 18: Profitability Index 231<BR>25 Calculation 19: Internal Rate of Return 234<BR>26 Calculation 20: Price, Income, and Expenses per Unit 239<BR>27 Calculation 21: Price, Income, and Expenses per Square Foot 242<BR>28 Calculation 22: Operating Expense Ratio 246<BR>29 Calculation 23: Debt Coverage Ratio 250<BR>30 Calculation 24: Break-Even Ratio 254<BR>31 Calculation 25: Return on Equity 257<BR>32 Calculation 26: Loan-to-Value Ratio 261<BR>33 Calculation 27: Points 267<BR>34 Calculation 28: Mortgage Payment/Mortgage Constant 271<BR>35 Calculation 29: Principal Balance/Balloon Payment 276<BR>36 Calculation 30: Principal and Interest per Period 282<BR>37 Calculation 31: Maximum Loan Amount 286<BR>38 Calculation 32: Assessed Value, Property Taxes, and Value Indicated by Assessment 290<BR>39 Calculation 33: Adjusted Basis 294<BR>40 Calculation 34: Depreciation 297<BR>41 Calculation 35: Gain on Sale 301<BR>42 Calculation 36: Land Measurements 304<BR>43 Calculation 37: Building Measurements—Gross Building Area, Usable Square Footage, Rentable Square Footage, Loss Ratio, Net Rentable Area 308</P><p>Appendix 313<BR>Index 323</P>
