Investing in real estate can be a lucrative endeavor, but finding the right investment property can be a daunting task. Fortunately, PortfolioBay’s Property Finder and Deal Calculator provide a powerful solution to simplify the process. In this article, we will guide you through the steps of setting up your search, interpreting the email summary report, and utilizing the Deal Calculator to refine your analysis. By leveraging these tools, you’ll gain a competitive edge in identifying and pursuing excellent investment opportunities.
Getting started with PortfolioBay’s Property Finder is a breeze. Simply select up to three zip codes that interest you for potential deals and provide an email address to receive the daily summary report. You can choose the duration for which you’d like to receive the report, ranging from 7 days to an indefinite period. If you ever wish to cancel the subscription, a cancellation link is conveniently provided in the email report. Furthermore, you can modify your subscribed list of zip codes using the link provided.
For existing PortfolioBay users, setting up the email report subscription is as simple as providing your email address. However, if you’re not currently a PortfolioBay user, you can gain access to this tool by working with a PortfolioBay partnering agent. These agents are carefully vetted to ensure their expertise in assisting investor clients. They can subscribe to the scan for you using their special access code, making it easy for you to start utilizing the Property Finder.
The email summary report from PortfolioBay provides valuable insights into potential investment properties. The primary metric used for comparing properties is the cap rate. The cap rate represents the potential return of a property without considering financing conditions, making it an excellent tool for assessing relative value. To maximize your return on investment (ROI) through leverage, your financing interest rate should be significantly lower than the property’s cap rate.
Each listing in the report includes the assumptions used to estimate the cap rate. These assumptions typically involve the estimated total market rent and the unit configuration. By quickly glancing at the estimated cap rate, you can identify undesirable deals. For example, if your target is a 7% cap rate, a property with a 5% cap rate would require a substantial price drop or rent increase to meet your desired level. By filtering out properties with lower cap rates, you can narrow down your search efficiently.
Once you’ve identified a potential deal worth exploring further, PortfolioBay’s Deal Calculator comes into play. By clicking on “Calculate This Deal,” you can access the pre-populated calculator, which allows you to fine-tune your analysis and obtain more accurate estimates for key financial metrics.
The Deal Calculator provides essential information such as the cap rate, ROI, cash flow, and debt service coverage ratio. These metrics enable you to make informed decisions about potential deals. By adjusting variables such as purchase price, financing terms, and rental income, you can assess the impact on your investment’s financial performance. This empowers you to evaluate different scenarios and optimize your strategy accordingly.
If your subscription was set up by a PortfolioBay partnering agent, you gain an additional advantage. With just a click, you can schedule a showing for the property you are interested in. This seamless integration allows you to take swift action when a good deal arises. Partnering agents are experts in the field and have a deep understanding of the local real estate market. Their guidance and expertise can be invaluable throughout the investment process.
With PortfolioBay’s Property Finder and Deal Calculator, finding the best available deals on the market becomes an efficient and informed process. By setting up an email subscription and leveraging the integrated tools, you gain a competitive edge in identifying and analyzing investment opportunities. Whether you’re a seasoned investor or just starting, these tools simplify the search process and provide the necessary insights to make informed decisions. Don’t wait any longer – become a PortfolioBay user today or partner with a PortfolioBay agent near you to unlock a world of investment potential.