Unlocking Multifamily Deals: Three Numbers That Reveal All

OVERVIEW

In this episode of the Ironclad Underwriting Podcast, Jason and Frank break down the pitfalls of oversimplified underwriting, especially the “three-number method” popularized by real estate gurus. They explore why back-of-the-napkin math can help you screen deals, but will never replace real due diligence, business planning, and detailed financial analysis.

TOPICS COVERED

• The danger of underwriting large apartment deals with only three numbers
• How gurus oversimplify investing to sell programs
• Why initial calculators and 60-second models should only guide early screening
• The importance of lease expirations, turnover costs, payroll, taxes, insurance, and repairs
• How business plans drive NOI improvement
• Market realities: when rules of thumb like ...