What is your entry-level real estate financial modeling test looks like?
Hi everyone,
I recently interviewed at a local real estate development company for an entry-level finance role.
The interview started at 9:30am and ended around 5pm — no lunch break.
The main part of the day was a financial modeling test from about 11am to 4pm. The interviewer, who was also the co-founder, gave me a real project: to help them decide whether they should refinance a loan. They provided detailed data directly from AppFolio, including full rent rolls and expense details.
The property had double-digit tenants, all with different lease structures. I realized that if I entered every tenant line by line, it would take me days to finish — so I simplified by using average income and expenses to complete the model within the given time. I knew it wasn’t the ideal approach, but otherwise I wouldn’t have finished.
Looking back, I’m wondering:
- Is this kind of on-site, same-day modeling test normal for entry-level real estate finance roles (like acquisitions, asset management, or underwriting)?
- Are these usually take-home assignments instead?
- How much time do candidates normally get to complete a test like this?
- How detailed or complex are the models you’re usually expected to build?
I’d really appreciate any insights or advice on how to prepare for these kinds of interviews going forward!
Based on the most helpful WSO content, here's what you need to know about entry-level real estate financial modeling tests:
On-Site Modeling Tests: It's not uncommon for entry-level real estate finance roles (acquisitions, asset management, or underwriting) to include on-site, same-day modeling tests. These tests are designed to evaluate your ability to work under pressure, think critically, and deliver results within a limited timeframe. However, the lack of a lunch break and the extended hours you described might be more intense than the norm.
Take-Home Assignments: While on-site tests are common, some firms also provide take-home assignments, especially for roles that require more detailed or complex models. Take-home tests allow candidates to work at their own pace and often result in more polished submissions.
Time Allocation: For on-site tests, the time given typically ranges from 2 to 5 hours, depending on the complexity of the task. Your 5-hour test falls within this range, though it seems to have been on the longer side.
Model Complexity: Entry-level tests often focus on:
In your case, simplifying the model by using average income and expenses was a practical decision given the time constraints. While not ideal, it demonstrated your ability to prioritize and deliver a functional model under pressure.
Preparation Tips:
Additional Resources: The WSO Elite Modeling Package and other financial modeling courses available on WSO can help you master the skills needed for these tests. They cover everything from Excel modeling to advanced real estate financial modeling techniques.
By honing your skills and practicing under realistic conditions, you'll be better prepared for future interviews and modeling tests. Good luck!
Sources: Modeling at work vs modeling tests, Real Estate Modelling Test Practice, Real Estate Modelling Test Practice, The highest paying entry level position with a MS in real estate
That’s definitely on the intense side for an entry-level role. A few-hour modeling test is normal, but a full-day session with real data and no break is a bit much. That said, it’s not unheard of at smaller or founder-led firms where they want to see how you think under pressure and handle messy, real-world data.
You actually approached it smartly simplifying instead of getting lost in tenant-level details shows good judgment. In real life, efficiency and knowing where to focus matter more than building a “perfect” model. If anything, that test probably revealed more about how you problem-solve than your Excel speed.
Sounds like major overkill for an entry level position to me. Even for an experienced candidate, that is a bit on the heavy side for in-person IMO. But I also sit in the camp that people go overboard with excel tests.
Laughably stupid for a role of any type. Take the job if you're offered it, but if you don't get it for whatever reason, know that it's a bit of a blessing.
Most modeling tests I have taken are either take-home with some a roughly 2 hour time limit. I have also taken a few which were done in office with a similar time limit. They usually consist of building out cash flows for a prospective deal, possibly a waterfall, and a few written questions to see how I think.
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