Free Property Analysis Worksheet

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Barry Robbins
Denver, CO · Member since 2008 · 25 posts · 16 votes
17y

Hey Josh, to answer your question in more depth, you are allowed to depreciate your building (not the land) over a 27.5 year period. The advantage of this is that on paper it makes it so you look like you took a net loss when you really (hopefully) took a net gain. The IRS will give you a portion of your losses back. Lets say you make a net income of $2400 a year and your depreciation is $100,000 / 27.5 = $3636. It actually looks like you lost $1236 that year. The IRS will you give you back a nice chunk of this. If you start to make over $100,000 from your job and you are a part-time real estate investor, benefits like these will start to go away and they will go away completely at $150,000. However, those numbers are based on your "modified adjusted gross income" so if you contribute to your 401k or pre-tax medical plan it will look like you make less money.

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  • Dave Chen
    Interior Decorator · TST · Member since 2009 · 1 post · 0 votes
    17y

    Jack Fremont and Albert Alcala could you tell me which program you are referring to? you can email the info to me at you convenience at [DISGUISED EMAIL REMOVED]

    thanks

    0Reply
  • Ariane Randolph
    Real Estate Investor · Jacksonville, FL · Member since 2009 · 49 posts · 5 votes
    17y

    Thanks!

    0Reply
  • Steve Babiak
    Real Estate Investor · Audubon, PA · Member since 2009 · 13k+ posts · 8k+ votes
    17y
    Originally posted by David Maupin:
    I am new to the forum and wanted to post my own income analyzer. Can somebody please tell me how to attach an excel document to the post?

    it is not possible to attach docs to the forum as the site exists today.

    In order to get something that is effectively the same, it is suggested that you upload the sheet to google docs (or similsr service) and then put the link to that on the forum with your message explaining what you are doing.

    0Reply
  • Paul Kestenbaum
    Commercial Lender · Ocala, FL · Member since 2008 · 60 posts · 4 votes
    17y

    Thanks....This is a Great tool for us to use, in our analysis.

    0Reply
  • Steve Simpson
    Involved In Real Estate · Orlando, FL · Member since 2009 · 35 posts · 4 votes
    17y

    If you are on the go and have an iPhone, there is a great FREE product that is somewhat similar to this spreadsheet. Search for 'NetVest Lite'. You won't be dissapointed.

    0Reply
  • Alonzo Abron
    Commercial Real Estate Broker · IL · Member since 2009 · 16 posts · 2 votes
    17y

    Thanks this is great!

    0Reply
  • Rob Smith
    Investor · Chino Hills, CA · Member since 2009 · 95 posts · 12 votes
    16y

    how do i figure out what my land cost is

    0Reply
  • Michael Rogers
    Certified Public Accountant · Chattanooga, TN · Member since 2008 · 279 posts · 151 votes
    16y

    Rob,

    That is some what of a subjective determination if you are buying a property that is already built. If you buy the land and then build a property, it's pretty easy to determine the land cost.

    The IRS doesn't give any specific guidance on how to determine the land vs. building improvement values. Most people will either use property tax records. They break out the value of your property between land cost and building improvements. You could also use comparable land sales or some sort of appraisal. It's really pretty subjective.

    If you are not sure, I'd just use the property tax appraisal breakdown to be safe.

    0Reply
  • Joe C
    Real Estate Investor · Hawthorne, NJ · Member since 2009 · 6 posts · 0 votes
    16y

    As a beginner this is great. I wonder if there is a similar spread sheet for rehabbing and flipping?

    0Reply
  • Ted Akers
    Centennial, CO · Member since 2009 · 758 posts · 251 votes
    16y

    Good spreadsheet. What makes BP so valuable versus other forums is its members willingness to share.

    2Reply
  • Shawn Travers
    St. Louis, MO · Member since 2009 · 6 posts · 0 votes
    16y
    Originally posted by Dave T:
    Originally posted by Marcus Lee:
    Question on the worksheet: If I just bought a duplex for 100K, closing costs of 5K, repairs 15K., 20K down-payment, How do put that into the Cost Information section? Do I just put 100K for Building Cost, 20K for Land cost (closing and repairs)?


    Marcus,

    There are only a few fields on this spreadsheet you need to fill in,

    For your example, enter $100K in the "Acquitision" cost field (highlighted in yellow).

    Your $20K downpayment is 20% of your purchase price. If you will have an interest only loan, then go to the Loan Details section and enter 20% in the "Down Payment (%)" field under Interest Only 1st Balance, otherwise, enter 0% in this field..

    If you will have an amortizing loan, enter 20% in the next column P&I 1st Balance. Then for the"Principal" enter $0 in the Interest Only 1st Balance column and enter $80000 in the P&I 1st Balance column. You also need to enter the annual interest Rate you are being charged on your financing.

    In the Initial Cost of Investment section at the bottom left, enter $5000 for Closing Costs to Buy and $15000 for Cost of Additional Repairs

    You are done.


    Okay, first, please let me say this is an awesome spreadsheet and I truly appreciate you sharing it with the forum.

    That being said, forgive me, but I must be missing something obvious here. I can't find any of the fields that you reference above. The "Acquisition" field and "P&I 1st Balance" fields, for example, and not immediately obvious to me. Anyone can help me, I'd appreciate it.

    0Reply
  • Phillip Madsen
    Real Estate Consultant · utah · Member since 2009 · 11 posts · 0 votes
    16y

    thanks i will check it out.

    0Reply
  • Ronald H.
    Grounds Maintenance · Winston Salem, NC · Member since 2009 · 143 posts · 11 votes
    16y

    Cool Spreadsheet. Thanks!

    1Reply
  • Michael Rogers
    Certified Public Accountant · Chattanooga, TN · Member since 2008 · 279 posts · 151 votes
    16y

    Marcus - I'm a little late on responding to this, but I would enters those numbers as follows.

    I would add the $100k purchase price, the $5k for closing cost, and the $15k repairs cost to come up with the total "Cost Basis" of $120k. The "cost basis" needs to be broken up between the building cost (depreciable) and the land cost. For this example let's say the land is worth $20k and the building is worth $100k. You would then enter the $100k into cell K14 and the $20k into cell K15.

    This isn't perfect, but it should give you a reasonable idea of how the property will cash flow out.

    0Reply
  • Mona Shaboon
    Real Estate Broker · San Antonio, TX · Member since 2009 · 49 posts · 3 votes
    16y

    Hey Josh, this is just a Great Tool. I will use it from now on. Many Thanks!!

    0Reply
  • Jim T.
    Ventura County, CA · Member since 2010 · 47 posts · 16 votes
    16y

    Originally posted by Michael Rogers:

    Rob,

    That is some what of a subjective determination if you are buying a property that is already built. If you buy the land and then build a property, it's pretty easy to determine the land cost.

    The IRS doesn't give any specific guidance on how to determine the land vs. building improvement values. Most people will either use property tax records. They break out the value of your property between land cost and building improvements. You could also use comparable land sales or some sort of appraisal. It's really pretty subjective.

    If you are not sure, I'd just use the property tax appraisal breakdown to be safe.



    As Mr Rogers says, you are always safe using the property tax appraisers breakdown. However, in California anyway, it may not give you favorable numbers. In California, land and improvements are taxed at the same rate so the breakdown is somewhat arbitrary. If it is not favorable, I use the insurance company's replacement cost as the improvement value. Another thing you can do is contact a builder and get a quote on rebuilding the structure, or your portion of the structure. This quote will probably cost you money though.
    0Reply
  • Bill Gulley
    Investor, Entrepreneur, Educator · Springfield, MO · Member since 2009 · 21k+ posts · 12k+ votes
    16y

    Hi, Josh, good deal, thanks for posting this!

    This is a simplified spread sheet and it appears it will be beneficial to the novice and seasoned property owner. It coveres the considerations of single family (1-4 family) rentals with an underlying mortgage. I didn't attempt to manipulate any of the functions. For larger portfolios or larger units, with common areas for example, you'll need to advance. Very nice tool! I'll give it an "A"! Bill

    1Reply
  • Thaddeus Bauldwin
    Duluth, GA · Member since 2009 · 3 posts · 0 votes
    16y

    Thanks Joshua.

    0Reply
  • Account Closed
    Real Estate Investor · San Antonio, TX · Member since 2010 · 122 posts · 17 votes
    16y

    Great worksheet! Thanks.

    0Reply
  • Folu Ahmed
    Banker · Member since 2010 · 10 posts · 1 vote
    16y

    Thanks for this spread sheet,

    Joshua you are the best!!!

    0Reply
  • Tracey Williams
    Investor · Columbus , OH · Member since 2010 · 311 posts · 51 votes
    16y

    Great tools,

    Thanks Josh

    0Reply
  • Rob M
    Member since 2010 · 1 post · 0 votes
    16y

    For some reason I can't get this to download. Has anyone else encountered this problem?

    0Reply
  • John K.
    Real Estate Investor · Topeka, KS · Member since 2010 · 63 posts · 40 votes
    16y
    Originally posted by Rob M:
    For some reason I can't get this to download. Has anyone else encountered this problem?


    The download worked for me. It is pretty simple but nice analysis and for free.. :D

    Thanks for the link!

    0Reply
  • Vicki Cox
    Real Estate Investor · Branson, MO · Member since 2008 · 32 posts · 13 votes
    16y

    Wow! Thank you so much for sharing this Chandler Properties and Joshua/BP! I have not used it yet, so will post again if I have questions.

    0Reply
  • Dave Gibson
    Real Estate Investor · Huntsville, AL · Member since 2010 · 44 posts · 11 votes
    16y

    Thanks for the spreadsheet, Josh.

    0Reply
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