Property evaluator questionnaire online how to#

For example, if the estimated market value of the property is $150,000 the rent should be at least $1,500 per month. If a home isn’t rented, you can use the 1% Rule to estimate what the monthly rent should be by multiplying the property asking price or market value by 1%. Cap rate tells you the potential rate of return based on net operating income (NOI), while compares the property fair market value to the gross rental income. Once the market value is determined, use financial calculations such as cap rate and GRM ( gross rent multiplier ) to see if the potential returns meet your investment goals. You can also research listings on Zillow and, and also see what investor-owned rental properties listed on Roofstock are going for. Real estate agents with access to the MLS will run comps for free. Create a comparative market analysis (CMA) of homes similar to the one you are looking at that have recently sold, are active listings for sale, or have gone off of the market unsold. One way of estimating the value of a rental property is to do what an appraiser does. That way you can compare the values and create a value range of low, middle, and maximum value. It’s a good idea to use different techniques. There are a number of methods for estimating the fair market value of a rental property. Next, set up your rental property analysis spreadsheet by following these four steps: 1.

Doing a rental property analysis on a spreadsheet makes updating much easier when you are analyzing multiple options before choosing the best property to invest in.

Property evaluator questionnaire online how to#

How to Create a Rental Property Analysis Spreadsheetīegin by choosing a spreadsheet software program such as Google Sheets, Microsoft Excel, LibreOffice Calc, or Open Office Calc. Simplify your rental property reporting Learn More