RealeSeller™ Investment Calculator Features
Using RealeSeller's Investment Calculator:
You can use the RealeSeller Rental Property Investment Calculator to help when
making a buying decision on a property. A property might look like a good
investment deal until some real numbers are applied to it. Many things
should be taken into account and this calculator will give you instant feedback.
You can change any data item not calculated and get an immediate result.
Your first window contains the basics of the property and the
client (1) interested in the property.
Most of the data the calculator uses is stored in the selected property on the
Property Stats Page. Not only is
the data pulled from this calculator, it can be written back with any changes
made here. Here is the starting view:
If this is a Single Family property, select the Single Family option. The
only real differences between the Single Family selection and the Multi-Family /
Commercial selection are the fields available for editing on the Property
Expenses tab. If an image of the property has been saved, the Investment
Calculator will display the first picture in the list
(3). If there is no picture, a default image of a single family
home or a commercial building will be displayed depending on your selection.
If you would like the tips and extra information about any item used in these
calculations to be displayed when you click either the field description or data
field, put a check in the box next to Show tips and extra information
(4). You can add notes that can be
printed along with the other data and calculations.
Put a check in the box
next to each note you want to print, if any (5).
Notes will not print without a check in the box. The top check box in the
notes display will either select all notes or unselect all notes.
On any tab, the data in the light blue fields
can be
changed by selecting the field.
After selecting the field it will change to yellow
indicating it is in the edit mode. All fields know what type of data they
are, percentages, years, dollars, etc. You do not need to add anything but
a decimal place holder (period) when necessary. Pressing the Enter
key is the only way that a number will be entered that you type. Simply
clicking away on another data box will leave the data as it was. Pressing
the Shift and Tab key will do the same thing.
Each of the buttons below is pretty much self explanatory. The Calculator
button is multifunction and will be explained in more detail below.
The Calculator button is multi-function as seen in the below image.
The first three items show the 3 different calculators and the check is next to
the currently selected calculator. Reload Property Values will load
all of the current values from the currently selected property. Load
Internal Default Values will set all fields to test default values to give
you an example to work with. Zero All Fields will do just that,
place a zero in every field value. The Options that add your picture and
company logo as well as other items can be selected or not, that is your choice.
The second tab contains your expected monthly income on the property.
Generally 1% of the value of the property is a good place to start. This
may or may not be realistic, but only a real estate agent familiar with the
current rental property values and the going rental rates being charged can make
this determination. One of the other things that is difficult to judge is
how much to figure for the Vacancy Percentage. In some areas this
can be 1/12 th, or 1 months rent per year, or it may be nearly zero. Here
again, the agent using this calculator has to know what the average vacancy rate
in the area actually is. Rule of thumb, 5-8% is a good realistic figure to
play with. Remember, you can change any of these numbers and see instantly
what the results are. Other property income will usually be for
multi-family and may include things like income from washing machine use, soap
sales, vending machines, etc. This is all property income and contributes
to the bottom line.
The items listed in the Property Expenses tab are most of the common expenses
related to property ownership be it Single Family or Multi-Family / Commercial.
The items marked with a red x
The Expense Results tab contains nothing but calculated fields. Everything on this view is calculated from all of the previous data entered in Property Info, Property Income and Property Expenses. Clicking on each item will give you information about each calculated item.
Here is where you get the Bottom Line information. While each item is explained when the field is clicked with the mouse, this data has to be explained to your client and is your responsibility as to how it is interpreted. How this information is used is completely up to your understanding of these calculated items.
This is a sample print preview of the calculator. This same view is pretty much the same one that can be sent as an email to a customer, or saved as an attachment to the property.
The Property Notes will only show up if you choose to print one or more notes associated with the property you are performing these calculations on.
This is an example of the property investment report you can send to a client as an email. Enough room is left at the beginning of the email for anything you might like to say.
