Underwriting Tools
Quick-reference calculators and market benchmarks to help brokers and investors evaluate commercial and investment property opportunities.
Cap Rate Calculator
Cap Rate = NOI ÷ Purchase Price × 100. Useful for quickly comparing income-producing properties across markets.
Cash-on-Cash Return
CoC Return = Annual Cash Flow ÷ Total Cash Invested × 100. A key metric for leveraged investment property analysis.
Debt Service Coverage Ratio (DSCR)
DSCR = NOI ÷ Annual Debt Service. Most commercial lenders require 1.20x or higher. Share this with your clients before submitting to lenders.
Market Benchmarks
| Metric | Typical Range | Notes |
|---|---|---|
| Cap Rate (Self-Storage) | 5.0% – 7.5% | Secondary/tertiary markets trend higher |
| Cap Rate (Multifamily) | 4.5% – 6.5% | Varies by market class |
| Cap Rate (Commercial Retail) | 5.5% – 8.0% | Anchored vs. unanchored varies widely |
| DSCR Minimum (Most Lenders) | 1.20x | Some bridge lenders accept 1.10x |
| Cash-on-Cash Target | 7% – 12% | Varies by strategy and leverage |
| LTV (Acquisition) | 65% – 75% | Conventional; bridge may go higher |
| Vacancy Assumption | 5% – 10% | Stabilized assets |
Self-Storage Underwriting
Development and acquisition analysis tools for self-storage and commercial storage opportunities.
Yield on Cost
Yield on Cost = Stabilized NOI ÷ Total Project Cost × 100. Developers typically target 150–200 basis points above market cap rates.
Stabilized Value
Stabilized Value = NOI ÷ Cap Rate. Use the prevailing market cap rate for comparable self-storage assets in the target market.
Rent Projection
Gross Potential Rent (monthly)
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Effective Gross Income (monthly)
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Effective Gross Income (annual)
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Gross Potential Rent assumes 100% occupancy. Effective Gross Income applies your occupancy assumption.
Occupancy Breakeven
Breakeven Occupancy = (Expenses + Debt Service) ÷ Gross Potential Rent. Most lenders want to see breakeven below 80%.
Residential Investment Analysis
Quick analysis tools for residential investment and fix-and-flip opportunities.
After Repair Value (ARV)
ARV is an estimate based on comparable sales. Always verify with a licensed appraiser or agent familiar with the local market.
Rehab Budget Estimator
These are general estimates only. Obtain contractor bids before committing to a purchase price.
Wholesale Spread
Maximum Allowable Offer (MAO)
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Wholesale Fee
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Net to Seller
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MAO = (ARV × Investor Margin) − Rehab Cost. Adjust margin based on your buyer's requirements.
Monthly Cash Flow
Total Monthly Expenses
$0
Net Monthly Cash Flow
$0
Annual Cash Flow
$0
Cash flow projections are estimates. Actual results vary based on market conditions, tenant performance, and financing terms.
Ready to Put These Numbers to Work?
Atlas Point Realty represents buyers, sellers, and investors across commercial, luxury residential, and investment property transactions nationwide. If you have a deal to evaluate or a property to bring to market, our team is ready to advise.
These tools are provided for informational purposes only and do not constitute financial or investment advice. Always consult a qualified professional before making investment decisions.