Multi family calculator

Buying & Selling Real Estate
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Multi family calculator

Joseph AmicoPro Member
Real Estate Agent · Boston area · Member since 2024 · 12 posts · 7 votes

Hi, Can someone link the multi family calculator you use? Grant Cardone has one but it's not free. Does bigger pockets have a free one? Thank you

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Joel Bechtel
Rental Property Investor · Harleysville, PA · Member since 2017 · 10 posts · 3 votes
5mo

Hi. For 20-50 units, the BP calculator works for a quick first look but it's built for smaller properties. Here are three options: Michael Blank's Syndicated Deal Analyzer (~$250, spreadsheet-based), Rob Beardsley's free model at lscre.com, or DealCheck (free tier, paid plans from $14/mo).

The key things to make sure whatever you use handles: current vs pro forma scenarios side by side, DSCR at today's rates (not just cap rate), expense ratio validation (should be 40-50% at that unit count), and max offer price reverse-calculated from your target returns. A lot of the free spreadsheets skip those.

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  • Joel Bechtel
    Rental Property Investor · Harleysville, PA · Member since 2017 · 10 posts · 3 votes
    5mo

    Hi. For 20-50 units, the BP calculator works for a quick first look but it's built for smaller properties. Here are three options: Michael Blank's Syndicated Deal Analyzer (~$250, spreadsheet-based), Rob Beardsley's free model at lscre.com, or DealCheck (free tier, paid plans from $14/mo).

    The key things to make sure whatever you use handles: current vs pro forma scenarios side by side, DSCR at today's rates (not just cap rate), expense ratio validation (should be 40-50% at that unit count), and max offer price reverse-calculated from your target returns. A lot of the free spreadsheets skip those.

    2Reply
  • Joseph AmicoPro Member
    OP
    Real Estate Agent · Boston area · Member since 2024 · 12 posts · 7 votes
    2mo

    Thank you, Joel! Are you near Washington, PA by any chance? I have family just over the border in WV.

    Thanks again!

    Joe

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  • Chris SeveneyBusiness Member
    Moderator
    Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
    2mo

    while using someone else's calculator to do some initial due diligence is great, i never recommend anyone use another party's calculator because there could be formulas or sensitivities that you did not even know existed within it. my recommendation is that each person should be building their own calculator so they understand how to build it as well as the sensitivity analysis (such as an impact on time or cost and how that impacts your overall numbers). the biggest mistake i see on multi-family especially value-add is on the absorption rate and people overestimating how quickly it takes to get a property leased up. 

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  • Joel Bechtel
    Rental Property Investor · Harleysville, PA · Member since 2017 · 10 posts · 3 votes
    2mo

    You're welcome Joe. I'm outside Philly, opposite end of the state from Washington.

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  • Jacob CamhiBusiness Member
    Hinton, WV · Member since 2026 · 135 posts · 42 votes
    1mo

    you really don't need a fancy calculator starting out for multifamily deals; the basic math is pretty straightforward once you get the hang of it.

    for a quick look, i'd just pull the actual income and expenses from the seller's schedule e or a recent rent roll.

    then, divide the net operating income (noi) by the purchase price to get your cap rate. this helps you compare deals quickly, and a simple spreadsheet or even a notebook will work just fine for that.

    have you tried just running the numbers on a potential deal using a simple excel sheet yet?

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  • Erick Moretti
    FL · Member since 2024 · 10 posts · 2 votes
    1mo

    Hi Joseph, for real multifamily underwriting, most people end up using Excel models, since there are more moving parts (T-12, rent comps, exit cap rate, debt terms, etc). Rob Beardsley from Lone Star Capital has a solid free model you can look up, that's a good starting point if you want something built for actual multifamily deals. I build custom multifamily underwriting models too if you ever want something more tailored to a specific deal. Shoot me a message if you need anything.

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  • Alex S.
    Investor · Washington, US · Member since 2021 · 153 posts · 42 votes
    1mo

    Agreed that Excel wins once you're past a fourplex, but the thing that actually drives the number is the T-12 vs your pro forma - rebuild the trailing expenses line by line instead of trusting the broker's OM, and assume an exit cap 50-100 bps above today's going-in cap. Most calculators break because they let you set an exit cap equal to entry, which quietly manufactures the whole return. If you want a shortcut, build one tab with rent roll and T-12 inputs feeding a simple debt schedule, and stress-test just three things: vacancy, interest rate, and exit cap.

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