Most multifamily underwriting examples walk you through a deal that closed. They show you the rent comp grid, the T-12, the sensitivity table, the exit multiple. What they don’t show you is the 57…
By Ken Lundin, Author, Operator and Investor. According to National Association of Realtors data, 23% of first-time investors choose the wrong structure and lose money in year one. What is the difference between multifamily…
By Ken Lundin, Author, Operator and Investor I’ve watched dozens of investors blow past red flags because they ran a single calculation and called it analysis. What is the 7% rule for rental property?…
By Ken Lundin, Author, Operator and Investor What is the 1% rule for multifamily? It’s the threshold that filters out 85% of listed properties in metro markets before you waste a single hour on…
By Ken Lundin, Author, Operator and Investor I’ve watched operators lose $4M in equity because they trusted a pro forma that looked perfect on paper. The model collapsed in the first six months of…
By Ken Lundin, Author, Operator and Investor I’ve watched operators chase rent growth right up to the moment they realize they’ve priced out the only people who can actually pay it. The rent to…
By Ken Lundin, Author, Operator and Investor Most multifamily deals fail on five OpEx line items. Operators underestimate them by 73%. Our analysis covered 140 acquisitions across 18 states from 2017-2024. The pattern repeats:…
By Ken Lundin, Author, Operator and Investor I’ve watched 30+ multifamily deals crater. The operator could execute the business plan. But the legal environment made execution impossible. National Apartment Association research tracked 2,400+ properties…
By Ken Lundin, Author, Operator and Investor I’ve watched sponsors blow $40M equity checks in markets where rent growth looked bulletproof. They didn’t miss the fundamentals. They ignored the 2,400 units already under construction.…
By Ken Lundin, Author, Operator and Investor I’ve reviewed more than 200 multifamily underwriting models in 30 years. The National Multifamily Housing Council’s 2024 Operating Expense Benchmark Study found institutional operators systematically understate first-year…