Value-Add Real Estate Investments
An excerpt from "Mastering Real Estate Investing"
Real estate is one of a few assets that can lend itself to an investor pro-actively adding value. In our context here, that's a situation where you take a piece of real estate and you do something to it —something tangible or something intangible — but in either case, something that increases how much someone would pay to acquire that asset from you when you’re done.
As an investor, your goal is not just to increase the value of the asset, but to enjoy a net profit from doing so. And that's what I talk about in this excerpt from my more extensive course, Mastering Real Estate Investing.
If you choose later to enroll in the complete course, you'll discover more than 60 videos covering a wealth of important topics:
- The Four Basic Returns
- The Vocabulary of Real Estate Investing
- The APOD and Income Capitalization
- Time Value of Money
- Real Estate Pro Formas
- Discounted Cash Flow Analysis
- Real Estate Investment Metrics
- Mortgage Financing and Underwriting
- Case Studies: Apartment, Mixed-Use, Triple-Net, Retail Strip Center
- Real Estate Development
- Value-Add Investments
- plus all of the content in this mini-course, Introduction to Real Estate Investment Partnerships
And you can get full credit for the price of this mini-course when you upgrade.
Frank Gallinelli is the author of the best-selling book, What Every Real Estate Investor Needs to Know About Cash Flow... now in its third edition, as well as other books and numerous articles on real estate investing and finance. He is a graduate of Yale University with a degree in psychology, holds a Master's degree in education from Southern Connecticut State University, and served as Adjunct Assistant Professor of Real Estate Development at Columbia University for over a decade. Gallinelli has been involved in real estate for more than 40 years and is the founder and president of RealData, providing real estate software to equip and educate investors and developers for success. RealData's flagship product, Real Estate Investment Analysis (REIA), uncovers the value and potential returns of any income property, and the company's development applications guide you through multifamily, commercial, subdivision, and condo projects. With Gallinelli's video courses, you'll develop the confidence and skills to evaluate investment opportunities for maximum profit.
What are our students saying about the full course?
This course might have changed my life. Everything I ever wanted to know about real estate was addressed in great detail. Thank you immensely.
Your course has changed my mindset and the way that I view real estate. ...Thank you for giving me the knowledge, confidence and courage to start my real estate investing career - now it's time to put it into action. -- Troy Joseph
This is a great video series to learn how to calculate and evaluate income producing properties. The math is the same for all levels of investors. Frank makes sure that you don't just accept what is given to you but explains how to look beyond and see the big picture of the potential investment.
Frank does such an incredible job of breaking down what at first seem will be overwhelming complexity to digestible short videos that I can comprehend. It truly is like learning to eat an elephant one bite at a time.
...your wonderful ability to teach this material has made this a thoroughly rewarding and efficient education in Real Estate Deal Analysis. I am incredibly satisfied with the online course as well as the RealData Pro software… More personally, I really want to thank you for the confidence your education has given me… — I-Yeh
I just wanted to thank Frank and the team for offering such a great product. I've been looking for a stronger forward but sophisticated learning experience to fine tune my skills as I am leaning toward larger income properties. Thanks for sharing your time and knowledge. — Kevin Sweet
A helpful, insightful, and well-structured course that can take you from newbie to capable investor in relatively short order. Complex concepts are well explained and well illustrated with examples.
I felt this course was extremely useful for my start of multi-family apt investment. I had Frank's book, but this course was perfect for me. I have full confidence my ability to analyze different properties.
This is an AWESOME course. I only passed through once however, I will go through it again. I believe if I can master the thought process as well as the the tools and techniques. I will have a competitive edge in making, presenting and operating all property classes. Thank you for your time hard work and due diligence putting this course together. It is everything you're not told at the seminars.
I felt that this course has properly formed me to make informed, calculated and intelligent decisions in regards to my future real estate investment portfolio. You're the man Frank! I will highly recommend this course to anyone interested in the real estate investment world.
“Dear Mr. Gallinelli, thanks so much for explaining the hierarchy of a pro forma for an income producing property in a very simple way. Your skill to translate investment concepts in a clear fashion to real estate investors is outstanding” --Maibi Rojas
…thank you for your relentless passion to make sure your student succeeds. I am passionate about learning and I appreciate you so much for this.”-- Ola Ibiwoye
Thanks. These are the best courses ever! -- Ken Vance
Great course - especially for a beginner commercial investor like me.
The case studies were very very helpful to better understand the lesson in not only mathematically/numbers, but also conceptually and how a certain situation goes by in real life.
Your skill to translate investment concepts in a clear fashion to real estate investors is outstanding.
StartPart 1 - Value Add in Real Estate (5:43)
StartPart 2 - Adding Value to a Rental Property (8:41)
StartPart 3 - Value-Add Apartment Renovation (10:25)
StartPart 4 - More Ways to Add Value (14:00)
StartPart 5 - Yield on Cost (16:32)
StartQuiz, Value-Add Investments
StartBONUS LESSON: Can a Single-Family House or Condo Work as Rental Property Investment? (11:02)
Frequently Asked Questions
We make no assumptions about your prior background or experience. The course will start with the basics, and from there it will move gradually into topics of greater depth.
Not at all. You'll find the math to be surprisingly simple, and I take special care to explain it clearly, with plenty of examples. Real estate investing is all about the numbers, and success comes to those who understand how the numbers work and what they mean.
The complete "Mastering..." course includes more than sixty videos -- and growing. Don't worry about falling asleep, because each video is about 7 to 18 minutes long. You can watch each lesson as many times as you like to master its content. You will be able to access additional video lessons as they are added.
No. For lessons that focus on metrics or calculations, we provide a good number of practice problems and answers. We also include several spreadsheet templates that you can use to make many of the calculations and perform some of the analyses discussed in the course. We also provide quizzes so you can test your understanding of the material you've studied.
You don't need any outside software to take the course, although we do recommend you have Excel or a similar spreadsheet so that you can take advantage of the templates we provide. When you begin working on real deals of your own, we hope you'll take advantage of the powerful and sophisticated tools offered at realdata.com
"The course taught the most important concepts that I need to know in my early stage of learning real estate finance. The instructor has a keen talent for explaining the initially mind-boggling concepts in a painless way through easy-to-understand language and examples. I recommend this course to anyone who has any interest in the real estate field."
Professor Gallinelli has the magic to make complicated concepts easy to understand. ... I feel much more confident to analyze a property based on all the available information and to make informed decisions with limited information.
I found the course to be the perfect complement to your book. I appreciated the fact that each video is short which allows the user to digest the material in a simple fashion. I also like the fact that you incorporated a quiz to test my knowledge of each concept. All in all it was really what I was hoping for and I have way more confidence today when analyzing income properties than I did before the course.