How To Choose a Property FeasibilityDevelopmentTemplate? Amber Khanna Lead Developer | LeadDeveloper.ioFounder
How To Choose a Property Development Feasibility Template? Free Property Development Feasibility Template Amber Khanna | Founder Lead Developer 0
Free Property Development Feasibility Template How To Choose The Right One To Fit The Purpose 2 My First Property Development Feasibility Calculator 3 One Minute Feaso My Back Of Envelope Calculations On Steroids 5 The Ultimate Back Of Envelope Feasibility 5 One Size Does Not Fit All 7 A Different Feasibility Template For Each Stage Of Your Development 8 Preliminary Assessment 8 Detailed Feasibility Template 8 Investment Analysis 8 How I Almost Derailed My Project With An Incomplete Feasibility Template. 10 Lesson 1: Professional Valuations 11 Lesson Learnt 11 What does that mean? 12 Does Your Feasibility Template Have A Funding Table? 14 Why Do We Need A Funding Table? 14 This Breaks Excel Feasibility Templates 17 Has Your Brain Exploded Yet? 18 Got It ? 18 The Best Development Feasibility Templates Are Designed To Be Your Friend 20 A Good Feasibility Template Should Allow For The Following: 20 Have You Heard Of S Curve Distributions? 21 For Everyone Else, Here Is A Simple Explanation 21 Lesson 2 The Double Whammy 23 Construction Interest Reserve 24 From Lesson 1 24 Project Related Site Value 26 My Dispute With The Professional Valuer 28 Entrepreneurial Margin For Profit And Risk 28 Real Estate Investment Analysis 30 Conclusion 35 Best Practices When Selecting Property Development Feasibility Template 35 FAQs 37 What is feasibility study templates? 37 Who conducts a real estate feasibility study? 37 1
The Purpose Hi, Amber Khanna here from Lead Developer with some short real life experiences for you from my actual experiences. Hopefully, these anecdotes will keep you from using the numerous property development feasibility templates that you find on the internet. Many people have asked why I created the Lead Developer Feasibility Suite the property development feasibility software What's the story behind all this hard work and dedication? I'm all about helping you get great results with your development & investment projects. That's my #1 goal! But my commitment and dedication to helping you know your numbers and avoid wasting a ton of time messing with free development feasibility spreadsheets and excel templates. And still not being sure if you've got your numbers right goes deeper than that. So I wanted to share with you my experience & the numerous stories behind the Lead Developer Feasibility Suite so you can understand why I have created multiple Property Development feasibility templates and converted them into a feasibility software suite. 2
Free Property Development Feasibility Template - How To Choose The Right One To Fit
When I started my career in real estate development, there was no one to show me how the numbers came together I had a property development mentor who gave me a two decade old version (yep, it was the year 2000 version) of a complex property development feasibility template with no training and no explanation of decision metrics and no method behind the madness. Believe it or not, I never used it because I was scared of numbers like most people. I hated them & most of all, I hated doing financial feasibilities. But the ONE THING I wanted to do was real estate development projects. And grow to a level where I could do that for others. I understood very early that if that's what I wanted to do, there were no escaping numbers No matter what, I just had to master the property development feasibility study.
My First Property Development Feasibility
Calculator
Property Development is the most lucrative property investment strategy under the sun And at the same time, if you get your numbers wrong, your project has the potential to suck up a whole lot of profit $$$ from your bottom line. But if this is what I wanted to do, I knew I had to Know My Numbers, as they determined everything from what I was going to pay for land (residual value of land) to what I was going to inject from my pocket and precisely what did the project needed to bring it home. I started with a simple property development spreadsheet on excel and did my first project, only to find out that I had missed 3
allowing for a big chunk of costs and that so much more was missing from my feasibility template… This is what it looked like when I started…(it was like going to war in my underwear. I wouldn't recommend anyone do this ever.) Then I improved upon it and did my next project and again realised that my feasibility template calculations weren't up to scratch. So I improved upon it again & have been doing so since 2012. I have lost money due to my bad judgements and incorrect feasibility assumptions. My gut feelings, hunches, thumb rules, and ballpark numbers have often landed me in hot soups. I've learned from the university of hard knocks…
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Created after years of iterations, the current version of One Minute Feaso (quick feaso) lets you estimate development margin, stamp duty, the residual land value and much more It is so powerful that it even lets you calculate the amount of money you need to raise to do a No Money Down Project It gives you the rate of return your investors will enjoy if they invest in your project. And that's not all; all property development feasibility software and templates include Sensitivity Tables, letting you see the impact of Costs and Sales on your bottom line at a glance. My obsession with getting my numbers right got me to do several financial modelling courses to ensure that my calculations were 100% correct. The Ultimate Back Of Envelope Feasibility
One Minute Feaso - My Back Of Envelope Calculations On
One minute Feaso is Back Of Envelope Calculations on steroids. All calculations are hardcoded, i.e. they are not dependent on formulas, so the chance of accidentally breaking or deleting formula cells is zero That's not all; One Minute Feaso is included with Lead Developer Feasibility Suite because it based on the core components of 5
Steroids
any real estate development feasibility. This makes it the perfect feasibility software for anyone who wants to learn property development feasibility. If you are starting and have no idea about real estate development feasibility, then One Minute Feaso is the best one to begin.
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There is no such thing as one feasibility template that's fit to use for every type of development. In this journey of obsession with property development and now numbers, I realised that no one feasibility template could accommodate all the scenarios.
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One Size Does Not Fit All
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Preliminary Assessment Sometimes, as developers, we are in a hurry and don't have complete information. However, we still need to decide whether or not we want to proceed with this project and whether or not we should invest more time & resources in this project. At other times, we have more time and information on hand to refine our project feasibility.
Detailed Feasibility Template And when we are in the due diligence period, we need to plan our cash flows and think through our financing options before committing to the project. Investment Analysis And finally, once the project is complete or when we are buying an investment property, we need to make sure that it is financially viable to hold an investment property that will profit us in the long run
A Different Feasibility Template For Each Stage Of Your Development
I have personally experienced these scenarios and have needed to use each of these feasibility templates. And that's the reason I created Lead Developer Feasibility Software Suite with an ever-growing library of feasibility templates. 9 For the complete ebook, please visit https://leaddeveloper.com/
