Advice on Underwriting Resources/Tutorials

[Chris Richards]

I'm interested in learning to underwrite multifamily deals but first need to learn the process. Can anyone share any helpful resources for learning the underwriting process? I have a few books that touch on the topics but am interested in what you all have used to teach yourself underwriting. Thank You!!! 

[Ashish Acharya]

@Chris Richards 

When you underwrite a multifamily deal always think about taxes. Depreciation is a huge benefit because it lowers taxable income without reducing cash flow. About 80 % of the property’s value can usually be depreciated, and a cost segregation study lets you speed that up by writing off items like flooring and appliances. With 100 % bonus depreciation still available in 2025, you can get big first-year deductions.

Your entity setup also matters. An LLC or partnership passes losses through, while an S corp can help cut self-employment taxes if you're active. If you qualify as a REP, those rental losses can offset your other income.

When you sell, plan for capital gains and depreciation recapture taxes. A 1031 exchange or installment sale can help you defer them and keep more money working for you.

In short, include depreciation, entity structure, and exit taxes in your underwriting. It shows your true after-tax return and helps you make smarter investment moves.

If you DM me, I will give you detailed analyzer.

This post does not create a CPA-client relationship. The information contained in this post is not to be relied upon. Readers are advised to seek professional advice