We will use Multifamily because it scales fastest for $1M profit.
Target stabilized 100-unit property.
Assume:
• Rent per unit = $1,200
• 100 units
$1,200 × 100 = $120,000 per month
$120,000 × 12 = $1,440,000 gross per year
Assume 40% expenses.
$1,440,000 × 40% = $576,000 expenses
NOI:
$1,440,000 − $576,000 = $864,000 NOI
If market cap = 6%
Value = NOI ÷ Cap
$864,000 ÷ .06 = $14,400,000 FMV
That’s our base value.
We use 85 / 45 / 24.
FMV = $14,400,000
Offer 85%:
$14,400,000 × .85 = $12,240,000
Recorded 45%:
$14,400,000 × .45 = $6,480,000
Lender 24%:
$14,400,000 × .24 = $3,456,000
Recorded price pool = $6,480,000
From that:
• Seller payoff
• Closing costs
• Finder 2% = $288,000
• Lender fee 2% = $288,000
• Cash back 5% = $720,000
• Kayan Trust 1% = $144,000
• Reserve 5% = $720,000
Now the key:
You control at $6.48M
Asset worth $14.4M
If stabilized and refinanced at TRUE value:
75% of $14.4M = $10,800,000 refinance
Loan payoff from 24% lender = $3,456,000
Cash left:
$10,800,000 − $3,456,000 = $7,344,000
You entered controlling at $6.48M structure.
Profit window easily exceeds $1,000,000.
Even conservative:
If refinance only at $9,000,000
$9,000,000 − $3,456,000 = $5,544,000
Still clears $1M net position gain.
If rents drop 10%
$1,440,000 × 90% = $1,296,000
Expenses 40% = $518,400
NOI = $777,600
Value at 6%:
$777,600 ÷ .06 = $12,960,000
Even stressed value = $12.96M
Still above your offer at $12.24M.
You are safe.
Debt at refinance = $9,000,000
Assume 6% rate
Annual debt payment approx $540,000
NOI stressed = $777,600
DSCR = 777,600 ÷ 540,000 = 1.44
Strong.
Yield on lender position:
Lender funds $3,456,000
If they earn 10%
$3,456,000 × .10 = $345,600 annual
Strong collateral at 24% FMV.
TEXT SCRIPT
I manage a private equity platform deploying 13–18M per quarter across multiple asset classes. We close in 23 days with escrow-controlled disbursements. On your 100-unit asset, can you confirm:
T12 actual NOI
Debt details
Deferred maintenance
The faster you send this, the faster I can write the check.
EMAIL SCRIPT (BROKER)
Subject: 100 Unit – Direct Close Inquiry
I manage a private equity platform deploying 13–18M per quarter across multiple real estate asset classes. We close in 23 days with clean title flow.
Before issuing formal terms:
Confirm in-place NOI
Current debt terms
Capex schedule
Occupancy last 12 months
I deploy structured capital immediately.
Send details today.
Subject: Collateral Opportunity – 100 Unit Multifamily
I manage a private equity platform deploying 13–18M per quarter across multiple asset classes. Our structure is asset-based, escrow-directed, execution-driven.
Asset Summary:
FMV: $14,400,000
LTV Request: 24% = $3,456,000
NOI: $864,000
Stressed NOI: $777,600
DSCR: 1.44
Yield target for lender: 10%
Collateral coverage = 4.1x your position.
I require 23-day close capability.
Confirm appetite and term sheet window.
I are structuring a recorded price transaction with escrow-directed disbursements only.
All funds flow through title.
No outside cash.
I require:
Settlement statement reflecting recorded price
Controlled disbursement schedule
Clear lien verification
23-day timeline
Confirm file intake today.
Yes.
Because:
I control below value
Lender is protected at 24%
Recorded price keeps tax exposure low
Refinance unlocks $1M+
This is math, not motivation.
Asset Value = $14.4M
Offer = $12.24M
Recorded = $6.48M
Lender = $3.456M
Refi conservative = $9M
Profit window = $1M+
This is how you make $1M on Deal 1.
Structure over sacrifice. Stewardship over struggle. Every deal builds legacy.
I’ll run the same $1M profit framework on:
Hotel
RV Park
Mobile Home Park
Whole numbers. Clean math. Stress tested.
Target:
• 80 rooms
• $150 ADR
• 65% occupancy
Room nights per year:
80 × 365 = 29,200
Occupied nights:
29,200 × 65% = 18,980
Revenue:
18,980 × $150 = $2,847,000
Assume 65% expenses (normal hotel ops)
Expenses:
$2,847,000 × 65% = $1,850,550
NOI:
$2,847,000 − $1,850,550 = $996,450
Cap rate 8%
Value:
$996,450 ÷ .08 = $12,455,625
Round = $12,400,000 FMV
FMV = $12,400,000
Offer 85%:
$12,400,000 × .85 = $10,540,000
Recorded 45%:
$12,400,000 × .45 = $5,580,000
Lender 24%:
$12,400,000 × .24 = $2,976,000
Stabilize operations to 75% occupancy.
New occupied nights:
29,200 × 75% = 21,900
Revenue:
21,900 × $150 = $3,285,000
NOI at 65% expenses:
$3,285,000 − $2,135,250 = $1,149,750
Value at 8%:
$1,149,750 ÷ .08 = $14,371,875
Refi 70%:
$14,371,875 × .70 = $10,060,000
Pay lender:
$10,060,000 − $2,976,000 = $7,084,000
You controlled at $5,580,000 structure.
$7M minus entry = $1M+ margin easily.
Occupancy drops to 60%.
Revenue:
29,200 × 60% = 17,520
17,520 × $150 = $2,628,000
NOI:
$2,628,000 − $1,708,200 = $919,800
Value:
$919,800 ÷ .08 = $11,497,500
Still near your offer at $10.54M.
Safe.
• 120 pads
• $650 per pad
• 90% occupancy
Occupied pads:
120 × 90% = 108
Monthly income:
108 × $650 = $70,200
Yearly:
$70,200 × 12 = $842,400
Expenses 40%
$842,400 × 40% = $336,960
NOI:
$842,400 − $336,960 = $505,440
Cap rate 7%
Value:
$505,440 ÷ .07 = $7,220,571
Round = $7,200,000 FMV
Offer:
$7,200,000 × .85 = $6,120,000
Recorded:
$7,200,000 × .45 = $3,240,000
Lender:
$7,200,000 × .24 = $1,728,000
Increase rent to $750.
New monthly:
108 × $750 = $81,000
Yearly:
$81,000 × 12 = $972,000
NOI:
$972,000 − $388,800 = $583,200
Value at 7%:
$583,200 ÷ .07 = $8,331,428
Refi 70%:
$8,331,428 × .70 = $5,832,000
Minus lender:
$5,832,000 − $1,728,000 = $4,104,000
Controlled at $3,240,000 structure.
Over $1M position gain.
• 150 lots
• $500 lot rent
• 95% occupied
Occupied:
150 × 95% = 143
Monthly:
143 × $500 = $71,500
Yearly:
$71,500 × 12 = $858,000
Expenses 35%
$858,000 × 35% = $300,300
NOI:
$858,000 − $300,300 = $557,700
Cap rate 6%
Value:
$557,700 ÷ .06 = $9,295,000
Round = $9,300,000 FMV
Offer:
$9,300,000 × .85 = $7,905,000
Recorded:
$9,300,000 × .45 = $4,185,000
Lender:
$9,300,000 × .24 = $2,232,000
Increase rent to $575.
New monthly:
143 × $575 = $82,225
Yearly:
$82,225 × 12 = $986,700
NOI:
$986,700 − $345,345 = $641,355
Value:
$641,355 ÷ .06 = $10,689,250
Refi 70%:
$10,689,250 × .70 = $7,482,000
Minus lender:
$7,482,000 − $2,232,000 = $5,250,000
Controlled at $4,185,000 structure.
Again clears $1M margin.
Below-market rents
Occupancy upside
Cap rate spread
Deferred maintenance minimal
Clear T12
If NOI can move 10–20%
You can create $1M. **** See Below I explain this in detailed*****
Hotel
• Occupancy risk high
• Revenue daily
• Expense heavy
RV Park
• Sticky tenants
• Utility billing upside
Mobile Home Park
• Best stability
• Lowest turnover
• Strongest refinance play
I am not buying buildings.
I am buying:
NOI × Cap Rate
Move NOI.
Value moves.
Move value $1.5M–$2M.
Your $1M appears.
Now you see it.
Same model.
Different wrapper.
Structure over sacrifice. Stewardship over struggle. Every deal builds legacy.
This is the core concept.
You do not need massive rent increases.
You need small NOI movement.
Because value is based on:
NOI ÷ Cap Rate
Small NOI change × Low cap rate = Big value jump.
Let’s break it down 3rd-grade style.
Current NOI = $500,000
Cap Rate = 5%
Value = NOI ÷ Cap
$500,000 ÷ .05 = $10,000,000
That is current value.
Now we increase NOI 10%.
10% of $500,000:
$500,000 × .10 = $50,000
New NOI:
$500,000 + $50,000 = $550,000
New Value:
$550,000 ÷ .05 = $11,000,000
Value Increase:
$11,000,000 − $10,000,000 = $1,000,000
You moved NOI 50k.
You created 1M.
Because at 5% cap:
Every $1 of NOI
Is worth $20 in value.
Why?
1 ÷ .05 = 20
So:
$50,000 × 20 = $1,000,000
That’s the multiplier.
Current NOI = $1,000,000
Cap = 8%
Value:
$1,000,000 ÷ .08 = $12,500,000
Increase NOI 15%.
15% of $1,000,000:
$1,000,000 × .15 = $150,000
New NOI:
$1,150,000
New Value:
$1,150,000 ÷ .08 = $14,375,000
Value Increase:
$14,375,000 − $12,500,000 = $1,875,000
You increased NOI $150k.
You created $1.875M.
At 6% cap:
1 ÷ .06 = 16.6
Every $1 of NOI
Is worth $16.6 in value.
At 7% cap:
1 ÷ .07 = 14.2
At 8% cap:
1 ÷ .08 = 12.5
Lower cap = bigger multiplier.
NOI = $600,000
Cap = 6%
Value:
$600,000 ÷ .06 = $10,000,000
Increase NOI 20%:
$600,000 × .20 = $120,000
New NOI:
$720,000
New Value:
$720,000 ÷ .06 = $12,000,000
Value Gain:
$2,000,000
Only moved NOI $120k.
Created $2M.
You are not hunting for $1M in rent.
You are hunting for:
$50k–$150k in NOI improvement.
Because the cap rate multiplies it.
Value Increase = NOI Increase ÷ Cap Rate
If cap = 5%
Divide by .05
If cap = 6%
Divide by .06
If cap = 8%
Divide by .08
That’s it.
Move NOI 10–20%.
Let the cap rate multiply it.
That’s how $1M appears without buying a bigger building.
Structure over sacrifice. Stewardship over struggle. Every deal builds legacy.