Avatar's Blog

» Pro Forma Financials

Posted on 11/16/2004
If you are buying a property that is income producing, you may be asked for a pro forma financial statement. This statement is an indication of what kind of income you can expect to generate from the property you are about to buy.

Request last year's and this year's (to date) income and expense sheet from the seller. Usse that to project your own earnings. Send both sheets to the lender.
Posted in Miscellaneous