Additions, Changes to Rental Valuator Real Estate Investment Analysis Software
8.1.10 - present: many more changes have been made to the software. We will update this page at a later date
6.17.10 Added a new version with 40-Year holding period max in Added ability to disable financing for all-cash transaction analysis. Added ability to override initial market value. This is useful in situations where you purchase something at a discount and are not necessarily adding value through renovation. Fixed a number of bugs reported by customers.
12.7.09 Holding period is now reduced to 12 years maximum. This was needed for a number of reasons: 1) Analysis beyond 10-12 years becomes fairly meaningless - it's very hard to predict what will happen so far down the road; 2) this has allowed us to improve the way the reports are formatted, thus creating producing a much more eye- catching presentation.
10.5.09 Added Debt Yield Calculations, as well as Physical and Economic Occupancy calculations. Also, we added an ability to specify Initial Capital Reserves deposit at closing, as well as the ability to contribute to Reserves on a monthly basis.
Also, 3 critical overrides have been installed: 1) Users can now specify whatever projected rental schedule they want for each unit type for every year in the holding period. This gives users the most possible flexibility in projecting rent roll. 2) A Vacancy Rate override has been installed. A different vacancy rate for each year can now be specified. 3) A Concessions Rate override has been added as well.
8.15.09 Added "Lender Summary" to the reports that can be generated with Rental Valuator. This is a concise, one-page summary that can be lender that your property is a good investment. The report includes income projections, DCR and LTV projections, and other relevant data about your property.
5.5.09 While Rental Valuator is primarily geared towards Buy/Hold Investors, a large % of our clients engage in rehab projects, after which they either flip the property or refinance and hold it. For those clients, we've added a Rehab/Flip Calculator. It allows users to enter their purchase price, rehab costs/timeframe and financing assumptions along with the expected ARV (After-Repair Value) and immediately calculate the profit from flipping or the projected cashflow and return from refinancing and holding the property.
2.20.09 Added an Income Statement to the list of reports generated by Rental Valuator. Consolidated all the reports into a simple "Generate Reports" function. Users now have the ability to generate reports on demand, just by clicking 1 button.
1.21.09 New change to the Resale Value Calculation: Users can now calculate ongoing Market Value and Resale Value using a user-specified Cap Rate, instead of being limited to assuming that the property will be resold at the "buy-in" Cap Rate. This is very useful for those real estate investors that buy properties at large discounts and plan on rehabbing and/or filling them with tenants before selling. (For example, you buy a vacant quad and project that you will sell it at a 10% Cap Rate once you renovate and stabilize the property).
See quick demo of this in action here:
1.7.08 Added Video Tutorials guiding the user through the Property Comparison Tool, Inputs Screen and the Analysis Analysis Interface. Other tutorials to be added soon.
Added the new "Analysis Interface" as the primary screen for user analysis. The "Analysis Interface" puts all of the most relevant inputs and outputs for real estate analysis on one screen, along with the relevant graphs.
Centralized the Sensitivity Analysis and added it to the "Analysis Interface". Sensitivity Analysis is an extremely powerful tool when it comes to analyzing real estate investments, and our software allows you to do it with just 1 click of a mouse. Users can now quickly see the impact of Purchase Price, Holding Period, Rent Growth Rate, and Operating Expense Growth Rate, among others, on the performance of a given property.
Added "Fair Market Value Multiplier" to the initial capital improvement inputs. This allows you to adjust the market value of the property if your initial rehab adds more to the value of the property than the $ expenditures on the actual rehab.
Typically, for every dollar spent on a rehab project, an investor adds more than $1 to the market value of the property, otherwise there would be no incentive to do the project in the first place. Our software now allows you to specify how much market value your capital expenditures will add. This feature already existed in the Discount Cashflow Analysis part of the model, which allows you to forecast Capital Improvements and the corresponding FMV Multiplier for any of the first 30 years of the property's holding period.
Financing analysis can now allow for fixed rate mortgages of any term (0-60 years). The only options available before were 15- year or 30-year amortization assumptions.
11.15.08 Added Property Comparison Tool. This is a dynamic tool that allows you to compare up to 5 investment properties at the same time, and rank them based on 8 different criteria, including: Cash Flow, Cap Rate, Gross Rent Multiplier, $/Sq Foot, Payback Period, Debt Coverage Ratio (DCR), and Break-Even Ratio. This product was added to the Rental Valuator software, and is also available as a stand-alone tool for only $14.95 here.