About Homey
Homey provides financial projections for rental property investments in the residential real estate market.
Using a proprietary model based on information from third party sources and detailed real estate assumptions, we provide a tool for analyzing investment properties.
Using a proprietary model based on information from third party sources and detailed real estate assumptions, we provide a tool for analyzing investment properties.
Why was Homey created?
A few months ago, when I was in the market for a rental house in Nashville, I made a 5-year proforma investment model to analyze different properties. I had to input different properties' information over and over again, which was super painstaking when I'd evaluate a multitude of new properties on the market. This got me thinking that I could automate a lot of the inputting of information using a Google Sheet and connecting it to real estate sites offering property info through APIs. (FYI, I did end up buying a property using this model)
A few weeks later, after learning about programming/APIs and linking it to my investment model, I set up a website and Voila! Simply enter an address and you receive a PDF/Google Sheet of the proforma model within 60 seconds.
In full transparency, there are pros and cons of this beta version.
Pros: It offers the ability to toggle all of the "Drivers" of the model, so it can be as customized as needed (e.g., adjusting purchase price/rent, % down/interest rate) and serves as a summary one-page document for both potential buyers/sellers.
Cons: All figures are estimates. The beta version only pulls in property info including a zillow price and rent, area effective tax rate/appreciation rate and various customary operating expenses (avg state-wide insurance, vacancy, maint/rep, leasing, prop mgmt, capex). The model doesn't account for personal tax/depreciation items.
Last thing: Homey doesn’t claim to give a correct purchase price, just a ball-park estimate. The price is derived from the buyer according to his/her analysis/appetite. Note, we include an estimate for the area's gross rent multiplier (GRM) so users can see how their price would compare locally.
I know this idea isn’t novel, but two items are distinct in my opinion: (1) This gives you a 1-pager so you can analyze quickly (2) You can download it to excel and modify for personal use.
I'd love folks could try it out and give their feedback here. It's totally free and you can download the model yourself in excel if you want to. Thanks in advance folks!
A few weeks later, after learning about programming/APIs and linking it to my investment model, I set up a website and Voila! Simply enter an address and you receive a PDF/Google Sheet of the proforma model within 60 seconds.
In full transparency, there are pros and cons of this beta version.
Pros: It offers the ability to toggle all of the "Drivers" of the model, so it can be as customized as needed (e.g., adjusting purchase price/rent, % down/interest rate) and serves as a summary one-page document for both potential buyers/sellers.
Cons: All figures are estimates. The beta version only pulls in property info including a zillow price and rent, area effective tax rate/appreciation rate and various customary operating expenses (avg state-wide insurance, vacancy, maint/rep, leasing, prop mgmt, capex). The model doesn't account for personal tax/depreciation items.
Last thing: Homey doesn’t claim to give a correct purchase price, just a ball-park estimate. The price is derived from the buyer according to his/her analysis/appetite. Note, we include an estimate for the area's gross rent multiplier (GRM) so users can see how their price would compare locally.
I know this idea isn’t novel, but two items are distinct in my opinion: (1) This gives you a 1-pager so you can analyze quickly (2) You can download it to excel and modify for personal use.
I'd love folks could try it out and give their feedback here. It's totally free and you can download the model yourself in excel if you want to. Thanks in advance folks!