Best Real Estate Finance Books

The key to real estate investing is to use other people’s money (OPM). From hard or private money to equity raises, you need to find creative ways to get the money you need to do deals.

This list covers the top books related to financing real estate deals.

1. What Every Real Estate Investor Needs to Know About Cash Flow… And 36 Other Key Financial Measures

By Frank Gallinelli

The Classic Guide to Real Estate Investing―Updated for a Re-energized Industry!

Real estate is once again a great investment, and this bestselling guide provides everything you need to know to get in now and make your fortune.

What Every Real Estate Investor Needs to Know About Cash Flow removes the guesswork from investing in real estate by teaching you how to crunch numbers like a pro, so you can confidently judge a property’s value and ensure it provides long-term returns.

Real estate expert, Frank Gallinelli has added new, detailed investment case studies, while maintaining the essentials that have made his book a staple among serious investors. Learn how to measure critical aspects of real estate investments, including:

• Discounted Cash Flow
• Net Present Value
• Capitalization Rate
• Cash-on-Cash Return
• Net Operating Income
• Internal Rate of Return
• Profitability Index
• Return on Equity

Whether you’re just beginning in real estate investing or you’re a seasoned professional, What Every Real Estate Investor Needs to Know About Cash Flow has what you need to make sure you take the smartest approach for your next investment using proven calculations.

2. The Complete Guide to Real Estate Finance for Investment Properties

By Steve Berges

This practical, real-world guide gives investors all the tools they need to make wise decisions when weighing the value and potential of investment properties.

Written for old pros as well as novice investors, this friendly, straightforward guide walks readers step by step through every stage of property analysis. Whether you’re buying or selling, investing in big commercial properties or single-family rentals, you’ll find expert guidance and handy resources on every aspect of real estate finance, including:

• Proven, effective valuation techniques
• Finance tips for all different kinds of property
• How various financing strategies affect investments
• Structuring financial instruments, including leverage, debt, equity, and partnerships
• Measurements and ratios for investment performance, including capitalization rates and gross rent multiplier ratios
• Future and present value analysis
• How the appraisal process works
• Primary appraisal methods-replacement cost, sales comparison, and income capitalization-and how to know which one to use
• How to understand financial statements, including income, balance, and cash flow
• Case studies for single-family rentals, multifamily conversions, apartment complexes, and commercial office space
• A detailed glossary of important real estate terminology

3. The Book on Investing in Real Estate with No (and Low) Money Down

By Brandon Turner

Is Your Lack of Cash Holding You Back From Your Real Estate Dreams? Don’t let the contents of your wallet define your future. Discover the real-life strategies that smart investors are using in today’s market to invest in real estate with creativity!

In The Book on Investing in Real Estate with No (and Low) Money Down, active real estate investor and co-host of the BiggerPockets Podcast, Brandon Turner takes readers past the hype and dives into real-life strategies that investors across the world are using to invest in real estate using creativity – instead of their own cash.

4. The Inside Guide to Funding Real Estate Investments

By Ross Hamilton

Finding great financing is the Holy Grail of real estate. Whether it’s your first deal or 50th, it can be the most daunting — but most important — challenge you face.

The good news is that today there are more ways to finance a property than ever before. If you know where to look, you can find nearly unlimited supplies of funding for your real estate deals.

The Inside Guide to Funding Real Estate Investments introduces you to the range of options available — from traditional mortgages and asset-based loans to crowdfunding and private money. Plus you’ll gain an insider’s perspective into the funding process and the way lenders think. Whether you’re planning to fix and flip…or buy and hold, you’ll learn:

• Which funding sources and strategies are best for which types of investments
• What lenders are looking for
• How to close with confidence
• How to maintain sufficient liquidity and protect your credit position for future deals
• How to avoid costly borrowing mistakes
• What to do when deals go south
• And more

With its laser focus on the single most important aspect of your deal, this book sets you up for real estate success like no other. Find the right financing and the riches will follow.