A rent roll is the schedule of every unit in a building and what it earns: the tenant, the rent, the lease start and end, the deposit held, and whether the unit is occupied. It is the document every other number in an income property is built from, which is why it is the first one requested and the first one verified.
- It is a claim until leases, deposits and bank statements agree with it. Verify it, do not read it.
- Month-to-month tenancies and expired leases matter as much as the rents. They are flexibility to one buyer and instability to another.
- Deposits are money that belongs to tenants. What the roll says is held has to arrive at closing.
- Ask when it was prepared. A roll dated three months back is describing a building that has since turned over.
The same eight units, taken from the roll and carried into the underwriting.
NOI, cap rate and loan size are all descendants of this one page, and it is the least verified document in most packages.
Related terms
All termsT-12 (Trailing Twelve)
A T-12 is the operating statement for the last twelve months: what the property actually collected and actually spent, month by month, through the most recent closed period.
InvestmentNOI (Net Operating Income)
Net operating income is what a property earns from operations in a year: all collected income minus operating expenses, before any mortgage payment, income tax, or capital projects.
InvestmentProforma
A proforma is the projected income and expense statement for a property: what the next owner is being asked to believe.
Terms arrive with the writing.
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