124: What You Need to Know About Cash Flow with Frank Gallinelli, Real Data

Jason Hartman talks today with Frank Gallinelli, founder and President of Real Data and author of the book What Every Real Estate Investor Needs to Know About Cash Flow & 36 Other Key Financial Measures, about what metrics Frank finds the most important for single family home investors to pay attention to. They also discuss the "holy grail" metric that investors should be using and when you actually SHOULDN'T invest in real estate.

Key Takeaways:

[1:56] What are the core metrics that real estate investors should be looking at?

[6:41] You should try and forecast best case, worst case, and in-between case for your properties

[8:04] What is discounted cash flow?

[10:39] The holy grail metric is still IRR (Internal Rate of Return)

[12:28] A different way to view Return on Equity

[16:01] Is there a time where it doesn't make sense to acquire properties?

[21:46] Education is absolutely vital to being a good investor

Website:

www.RealData.com

www.VentureAllianceMastermind.com