Financial Model in Property Sector

We are regularly requested to build a financial model in the property sector. In this case it was to build a template model that would look at an investment on a property by property basis based on commercial property. However, we have built similar models for residential apartments and student accommodation.

As with all our financial models, we always build 3 way financial models in that it must end up with an

  • Income Statement,
  • Cash Flow and
  • (balancing) Balance Sheet.

In addition we built various other reports around the returns for a property investment. The model was also built in such a way that it was easy to run what ifs to assess the likelihood of achieving the returns, or at what level of rental/ purchase price/ sales price would we achieve our desired return.

Financial Model in Property Key Features

  • Flexibility with regards the financing of the property
Various repayment options
Debt calculations
Comparison of available cash versus debt repayments
Debt calculations
  • Ability to play with the required/ anticipated rentals and possible vacancies
Financial Model in Property
  • Differentiation between fixed and variable costs
  • Detailed graphics of monthly cash flows
Financial Model in Property
  • Flexibility around the eventual sale of the property and its impact on returns
Financial Model in Property
Financial Model in Property

For more information on a Financial Model in the Property Sector contact us at

If you want to learn how to build Property Financial models yourself, we have Online Financial modelling courses as well as live Financial Modelling, Budgeting and forecasting courses do this yourself.