This is a great book, and well worth purchasing if you want to learn about finances for investment properties. It is not all that it could be, but don't let that stop you from using it to get started. All that having been said, here are the things that I had to be careful about: 1) Ten performance measurements and ratios are presented in chapter 6, and they represent the heart of the book. There is little overview of which ones are most importance or how to use or weigh conflicting or offsetting results. 2) The book is heavily centered on spreadsheets, which the author offers to sell to you. Others have criticized the spreadsheets for being locked. I used the book to recreate my own version of the spreadsheets, and the extensive explanations in the book helped, mostly, to make sure that I got the underlying formulas correct. What I noticed, however, is that the book sorely needed a financially sophisticated editor. For example, the spreadsheet on page 193 has an entry for "Expense/Foot." In fact, this entry is none other than the OER - Operating Expense Ratio - that was developed in Chapter 6. Why go to all the trouble to create and define ratios, if you aren't then going to use them. Other parts of the spreadsheets were equally problematic. For example, the Net CF's - presumably "cash flow" - for a 3 year exit only had the receipts for years 1 and 2, and not for year 3. Lastly, the book has nothing to say about (a) maintaining and growing a real estate portfolio of multiple properties as opposed to a single property, or (b) evaluating the relatively new 1031 multiple tenants in common investments that some long time owners are trading into in order to stop being a full time property manager as well as an investor.

I own a small business and used Berges's book to help me analyze two commercial real estate aquisitions for our business's office locations. I felt Berges does an admirable job of giving the reader what he/she needs to know to profit. Not too simple. Not too complex. Just right.

I have read many books dealing with real estate finance and while they all have some merits, this seems to cover most areas sufficiently. The only caveat is do not buy this book if you are going into commercial property because it does not cover triple net leases or any other analysis that might come up with commerical properity. However if you want to learn about returns with single family or multi family buildings, then this is the book for you. Berges other book on multi family buildings is also quite informative.

It's about time somebody wrote a book that really deals with the financial aspects of real estate in an in-depth and informative way. I've seen a couple of other real estate finance books that sell for over $100 that are intended to be used as text books and deal more in the realm of theory. Steve Berges' book takes the theory found in college level text books and simplifies it so that the average person can understand it. He then takes it a step further by showing the reader how the theory can be applied to real world situations by providing actual examples. According to the jacket of the book and some of the comments inside, the author has an MBA in finance and is also an active real estate investor, which suggests to me that he knows what he's talking about.

Since math never was one of my best subjects, I found the step-by-step examples and analysis to be very helpful. Berges covered many topics related to finance including future value and present value concepts, understanding income capitalization, IRRs, ROIs, NPVs, income and balance statements, and much more. All in all, the book was very helpful to me in understanding how to analyze income producing properties such as apartments and commercial buildings. The author did an excellent job in writing about a topic that has been all but neglected by the so-called TV gurus.