- What are all of the expenses?
- What are the improvement costs?
- What are the quiet costs? These are closing costs and the carrying costs.
- What are the your company overhead costs? These are costs such as employees, gas, paper, ink, etc.
- What are the investment and return requirements?
- What is the project duration?
- What total investment is necessary?
- What profit is necessary for the total risk?
These answers all factor into how much you can pay for the house. If you haven’t analyzed the numbers, you are at a serious disadvantage. You can’t be certain that you will make your desired profit. Even worse, you may work for no profit at all!
This Microsoft Excel spreadsheet product is the implementation of the SHV Project Estimation Equation. This product answers each of the above questions given 6 easy input variables typed into the green boxes in the upper right(see the display example).
- Monthly homeowners association dues
- Square footage of the house
- Required annual return on investment percentage
- Average months on the market
- Resale price of the improved house
- Improvement cost per square foot
This product calculates and displays a full project estimate in a clear, detailed, and itemized report!
- Maximum Offer Price
- Expenses
- Improvement Cost
- Company Overhead Cost
- Quiet Cost
- Investment and Return
- Project Duration
- Required Investment
- Return on Investment
The Project Estimation report is designed to help you analyze residential projects. When you find one that works, the exact same report is used to attract investors.
This product also contains a PDF Document with a full mathematical derivation of the SHV Project Estimation Equation. You not only get the final equations, but you also receive the full path to arrive there as well as the assumptions made along the way!