How to Analyze a Commercial Real Estate Deal
Learn how to look beyond the purchase price and determine whether a commercial real estate deal actually makes financial sense.
How to Analyze a Commercial Real Estate Deal is a practical guide for investors who want to understand the numbers lenders and experienced buyers use when evaluating income-producing property.
Inside, you’ll learn how to analyze:
- Purchase price and current value
- Rent rolls and lease income
- T-12 and trailing financials
- Occupancy and vacancy
- Operating expenses
- Net Operating Income (NOI)
- Cap rates
- Debt service and DSCR
- Loan-to-value and leverage
- Stabilized value
- Value-add opportunities
- Cash-on-cash return
- Projected returns
- Sensitivity and stress testing
- Common red flags that can weaken a deal
Perfect for multifamily, mixed-use, retail, office, industrial, self-storage, and other commercial real estate investors who want to evaluate opportunities with greater confidence.
Includes practical examples, underwriting tools, checklists, and a reusable commercial deal analyzer.
Know the numbers before you buy the deal.