Real Estate Fund Modeling

What the best method for modeling a FOF hypothetical?

A) utilize the the 1, 3, and 5 yr average net return of the underlying operators 


B) utilize assumptions of cash flow based on prefs and estimated appreciation of the underlying assets? 

i've modeled both methods and with A (using net return) and B (using IRR) the returns are within 15% of each other however the MOIC is very different. i also modeled in a refinance/recap of some sort in year 3 under method B. I know what i'm doing in application but am not an excel guru and am struggling to ensure i model the hypotheticals accurately to investors. any thoughts or feedback?

Real Estate Modeling Course

  • Real-life RE Modeling Tests from actual Interviews
  • Various asset classes including multi-family, commercial and more
  • Huge discount - until more tests and cases added

Comments (7)

  • Investment Analyst in PE - Other
Apr 9, 2021 - 10:26pm

How the fuck are you launching a fund of funds without knowing the absolute basics. Fucking dumbass I feel bad for anyone that falls for your scam.

Apr 10, 2021 - 12:27am

its a bit judgmental when you don't know me or what resources i'm able to pull together; everyone starts somewhere. Launching means learning and building the product accurately and properly before pitching. Just because excel isn't my skillset doesn't make it a scam. unless you have something to contribute go fuck yourself. 

Learn More

300+ video lessons across 6 modeling courses taught by elite practitioners at the top investment banks and private equity funds -- Excel Modeling -- Financial Statement Modeling -- M&A Modeling -- LBO Modeling -- DCF and Valuation Modeling -- ALL INCLUDED + 2 Huge Bonuses.

Learn more
  • Investment Analyst in PE - Other
Apr 10, 2021 - 12:30am

Taking on other peoples money isn't the time to learn. You take on other peoples money once you already know how to do...

Apr 10, 2021 - 12:30am

Beatae quia molestiae debitis facilis quibusdam magni odio harum. Molestias ipsa rem voluptas nulla possimus rerum sed amet. Qui error inventore aut laboriosam sit.

Omnis laudantium temporibus aut officia. Blanditiis eius ab sunt velit. Excepturi similique ea rerum incidunt. Soluta eaque tenetur ipsum rerum accusamus.

Start Discussion

Total Avg Compensation

September 2021 Investment Banking

  • Director/MD (10) $853
  • Vice President (38) $367
  • Associates (218) $232
  • 2nd Year Analyst (130) $153
  • 3rd+ Year Analyst (30) $147
  • Intern/Summer Associate (102) $144
  • 1st Year Analyst (483) $135
  • Intern/Summer Analyst (375) $82