Real Estate Investor Training Video. Lesson 3. Understanding real estate math will make you a better investor. Understanding income types: GSI, AGI, NOI

1. Hassle-free Cashflow Minute
Lesson 3:
Gross Scheduled Income (GSI)
Adjusted Gross Income (AGI)
Net Operating Income (NOI)
Investor Educational Series by
Professional Investor / Developer
David Campbell
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2. Gross Scheduled
Income
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3. Gross Scheduled Income (GSI)
All income from the property
assuming 100% occupancy at
market rent with no rent
concessions
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4. Case Study: Gross Scheduled Income
Market Rent: $1,000/month
$1,000 x 12 mos = $12,000 GSI
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5. Adjusted Gross
Income (AGI)
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6. Adjusted Gross Income
Gross Scheduled Income less
vacancy rate
rent concessions
loss to lease
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7. Case Study: Adjusted Gross
Income (AGI)
$12,000 GSI
-6% vacancy rate
-4% rent concession
-2% loss to lease
$12,000 GSI x 88% = $10,560
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8. Net Operating Income
(NOI)
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9. Net Operating Income
Adjusted Gross Income less
Operating Expenses (see lesson 4)
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10. Case Study: Adjusted Gross Income (AGI)
$10,560 AGI
- 50% operating expenses (see lesson 4)
$5,280 NOI
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11. David Campbell
$500 million of real estate
experience
real estate investor / developer
houses / apartments
retail / office / land / resort
condos / condo conversion
financial strategist
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