Q&A
Real questions from readers, answered by vetted real estate experts — investors, operators, and proptech builders.
Underwrite the exit cap flat to entry as your base case, and wider in your downside. If a deal only clears the hurdle with compression baked in, you're not winning a deal — you're buying optionality on rates, and that's a different (worse) business. The way to stay competitive without lying is to find the return in…
Read more →Treat insurance like a structural cost, not a cyclical one. We underwrite +12-15% annually for at least the first three years and assume no reversion. Then we pressure-test the year-three DSCR at that elevated number against the refi rate the curve implies. If the deal only works on insurance reverting, it doesn't…
Read more →Every few months another new-city project announces a raise. Is there a sane way for a non-billionaire to get exposure, or is this purely a vanity asset class?