Real Estate Financial Modeling – Tim Vipond – CFI Education

*** Proof of Product ***

Exploring the Essential Features of “Real Estate Financial Modeling – Tim Vipond – CFI Education”

This course covers the language of the real estate industry as it applies to finance. You’ll walk step-by-step through building a model in Excel and upskill your modeling knowledge.

• Learn the nuances of the real estate industry
• Understand how to project real estate financing at different stages in a project’s life cycle
• Calculate a cash flow waterfall for different investors

Overview

Recommended Prerequisites

These preparatory courses are optional, but we recommend you to complete the stated prep course(s) or possess the equivalent knowledge prior to enrolling in this course:

1. 3-Statement Modeling
2. DCF Valuation Modeling

Real Estate Financial Modeling (REFM) Course Overview

Build a dynamic Real Estate Financial model to evaluate the investment return profile of a development project in Excel. This Excel-based real estate financial modeling course is designed for development professionals, lending/banking analysts, surveyors, and anyone interested in mastering the art of building real estate development models from scratch.  

In this real estate modeling course, you will learn step-by-step how to build a dynamic financial model that incorporates sensitivity analysis of development costs, sales prices, and other aspects of development. 

Who should take this course?

This real estate development financial modeling in Excel course is designed for anyone who is seeking to develop intermediate to advanced financial modeling skills and become an expert financial modeler for real estate development.  

Real Estate Financial Modeling Learning Content

• Real estate industry Overview
• Calculate Cap Rate and Net Operating Income (NOI)
• Build an interactive financial model to assess a project’s financial viability
• Understand how to project real estate financing (both debt and equity) flow in and out depending on stage of development
• Design and structure of an Excel-based project finance model
• Modeling cash flows for a real estate development project
• Build in “triggers” and sensitivities to understand a project’s exposure to key drivers
• Develop ownership and financial structures (debt & equity)
• Calculate Internal Rate of Return (IRR), Return on Sales, Return on Cost
• Joint Venture (JV structures)
• Cash flow waterfalls (3 tier cash flow waterfall)
• Promotes and disproportionate returns
• Produce a one-page investment summary memo
• Includes blank and completed financial models to download

What you’ll learn

Introduction
Welcome Draft
Course introduction 
Download Excel templates
Instructor biography Draft
Course objectives 
Terms and definitions
Development timeline 
Project finance vs corporate finance 
Capital stack for project finance 
Financial modeling best practices 

Cap Rates and NOI
Session objectives
Session objectives Draft
Overview of cap rates and net operating income (NOI)
Completing assumptions
Revenue and expenses
Calculating NOI
Sensitivity analysis
Valuation matrix
Download completed cap rate and NOI model

Land Loans and Construction Loans
Land loan
Land loan case study – assignment
Funding construction loan

Real Estate Development Model
Development model overview
Assumptions overview
Assumptions raw data
Schedule and property stats
Development costs
Sales assumptions
Financing assumptions
Dynamic time periods
Absorption
Closings
Revenue build up
Expenses
Costs to fund and proceeds to repay capital
Loans and financing
Debt schedule
Check debt schedule
Levered free cash flow and IRR

Joint Ventures & Cash Flow Waterfalls
Session objectives
Session objectives Draft
Joint ventures (JVs)
Disproportionate returns
Waterfall logic and structure
Setting up the JV structure in the model
Modeling equity contributions
Waterfall modeling – tier 1
Waterfall modeling – tier 2
Waterfall modeling – tier 3
Summary of distributions and cash flow
IRR & NPV by investor type
IRR scenarios

Financial Analysis Output
Overview
Overview Draft
Page setup
Development pro forma
Profit outputs
Setup for sensitivity analysis
Sensitivity analysis

Final Product
Download completed Excel model
Financial model review Draft
Summary

Qualified Assessment
Qualified assessment

Please see the full list of alternative group-buy courses available here: https://lunacourse.com/shop/