Finance: Cash Flow Analysis
This advanced course will teach you how to forecast and calculate your client’s cash on cash return and their internal rate of return on their investment properties. You will also learn how to measure your performance and effectiveness as a property manager. Whether your client is a traditional investor or a “frustrated seller”, once the property becomes a rental, it is all about the numbers. Understanding the “numbers” will enable you to advise your clients based on what is in their financial best interests and explain how to forecast that. You can better forecast how a replacement vs. a repair or a rent increase can enhance the property’s value. You move from someone that just collects rent and coordinates repairs to being their consultant.
Who Should Attend?
Anyone that works with landlords will benefit from this class. If you learn how to “speak investor” you will become a much more valuable service provider for your client.
- 4 Function calculator
- Pencil with an eraser
How YOU will Benefit?
By learning cash flow analysis and how to measure your own performance you will be able to better advise and better serve your clients. When you can quantify how your performance is superior, and how your recommendations contribute to a more profitable ownership experience, more clients will seek you out and your existing clients will more highly value your input and advice.
- Identify the different components of Cash Flow Analysis
- Describe how to calculate the income derived from Cash Flow
- Explain how income is derived from Loan Amortization
- Summarize tax considerations and tax “savings to an investor
- Explain how income is derived from Appreciation
- Calculate a budgeted cash flow for a rental house
- Calculate budgeted IRR for a rental house