IRR · NPV · Cash-on-Cash

Financial Feasibility Analysis

The financial feasibility analysis shows whether a real estate investment achieves the targeted return — with a complete cash flow model, IRR, NPV and exit calculation at institutional level.

View the process
IRR & NPV
DCF Model
Exit Calculation
Sensitivity analysis

Return and risk — fully modeled

A sound financial feasibility analysis goes far beyond simple rental yield. We build a complete DCF (discounted cash flow) model with a multi-year planning horizon that captures all relevant cash flows — rental income, vacancy, maintenance, financing costs and exit proceeds.

Based on this model, the key return metrics are calculated: internal rate of return (IRR), net present value (NPV), cash-on-cash return and equity multiple — the standard metrics for institutional investment decisions.

The analysis includes:

  • Complete DCF cash flow model (10+ years)
  • IRR, NPV, cash-on-cash, equity multiple
  • Rental growth assumptions & vacancy scenarios
  • Financing structure & leverage effect
  • Exit calculation with sale multiplier
  • Sensitivity analysis rent / purchase price / exit

Who is the financial feasibility analysis for?

Anyone buying or selling a property benefits from an independent return analysis — especially when loan financing is planned.

Private investors

Before purchasing an investment property, the financial feasibility analysis shows whether the purchase price is economically viable — and what return can be expected under various scenarios.

Institutional investors

Institutional investors and family offices require an independent IRR model as a third-party opinion — to validate internal calculations or as a decision basis for the investment committee.

Loan negotiation with the bank

A professional financial feasibility analysis strengthens your position in financing negotiations and shows the lending institution that the purchase price and cash flow are based on a solid analysis.

Sellers & exit planning

For planning a property sale, the DCF model shows what proceeds you can expect at what time, with what exit multiplier and under what market development.

Process of the financial feasibility analysis

01

Data collection & property analysis

Collection of all property-relevant data: purchase price, current rents, lease terms, maintenance reserves, ongoing costs, financing terms and planned exit strategy.

02

Market analysis & assumptions

Determination of market-consistent rental growth assumptions, vacancy rates and exit multipliers based on current market data — not by gut feeling, but from an analysis of the submarket.

03

DCF model & return metrics

Building the complete cash flow model with annual detailed calculations and computation of IRR, NPV, cash-on-cash return and equity multiple. Leverage effect analysis for debt financing.

04

Sensitivity analysis & documentation

Presentation of return sensitivity for various scenarios: base case, optimistic, bear case. Complete bank-ready documentation with a traceable rationale for all assumptions.

Request a financial feasibility analysis

We build the DCF model for your investment decision — at institutional level, independent and documented in a bank-ready format.

IRR, NPV, cash-on-cashAll relevant return metrics
Sensitivity analysisBull, base and bear case
20+ years of investment practiceMarket-consistent assumptions from an institutional background
A return without a cash flow model is a hope — with a complete DCF model, it becomes a basis for decision-making.
Tobias Streckel
Tobias Streckel
Real Estate Appraiser
+49 8123 88 300 10
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