How to Build a Proforma for Real Estate Investing (Step-By-Step)

💌 STAY AHEAD YOUR WAYWant smarter insights, market trends, and strategies delivered straight to your inbox?Join the Commercial Connections Newsletter — a quick, actionable read for brokers, investors, and CRE professionals.👉 Subscribe now📅 BOOK A CALLIf you’re a family-owned apartment owner in Oregon, you don’t have to navigate your next move alone. From 1031 exchanges to retirement planning, I help owners protect equity and plan for the future.Schedule a strategy call🎙️EPISODE SUMMARYIn this episode of Commercial Connections: Investing with Confidence, I’m joined by our podcast producer, Brittny Derden, for a deep dive into one of the most important tools in real estate investing—the pro forma.We discuss:⦿ What a pro forma is and why it matters⦿ The difference between market-based vs. tax-based pro formas⦿ How to structure and stress test your analysis⦿ Common mistakes investors make when modeling deals⦿ A case study on a 17-unit property near the University of Oregon⦿ Practical tips for negotiating and building your ownWhether you’re evaluating your next deal or refining your current portfolio, this episode gives you the financial roadmap to invest with clarity and confidence.📝 EPISODE THEMES 00:00 – Introduction to Commercial Real Estate Investing 01:20 – Understanding Pro Forma: The Financial Roadmap 02:53 – Building a Pro Forma: Step-by-Step Guide 04:45 – Operating Expenses and Management Fees 06:55 – Stress Testing and Comparing Properties 09:25 – Case Study: 17-Unit Property Near U of O 14:55 – Negotiating Price Concessions and Backup Offers 20:24 – Final Tips for Creating Your Own Pro Forma 26:45 – Conclusion and Resources🔗 CONNECT WITH ME#RealEstateInvesting #Proforma #CCIM #CapRate #InvestingTips #PropertyManagement #RealEstateFinance