Real Estate Due Diligence Fundamentals

russian salsa, classical cumbia, havana electropop · 3:06

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Lyrics

[Verse 1]
Sarah walks through marble lobbies, clipboard tight against her chest
Before she signs the purchase papers, every detail gets a test
Reading leases line by line, each tenant's story tells a tale
Monthly rent and escalation clauses, where the numbers might derail

[Chorus]
Due diligence detective, searching every corner clean
Lease terms, vacancy patterns, cap-ex budgets in between
L-V-C remembers easy, Leases Vacancy Cap-ex three
Real estate investigation, sets your investment spirit free

[Verse 2]
Triple net means tenant pays for taxes, maintenance and more
Gross lease puts those costs on you, know what you're paying for
Lease expiry dates are critical, when will tenants disappear
Renewal options, rent reviews, map out every crucial year

[Chorus]
Due diligence detective, searching every corner clean
Lease terms, vacancy patterns, cap-ex budgets in between
L-V-C remembers easy, Leases Vacancy Cap-ex three
Real estate investigation, sets your investment spirit free

[Verse 3]
Empty units drain your wallet, vacancy's a silent thief
Calculate the average percentage, seasonal patterns bring relief
Market rates versus asking prices, competition down the street
Historical occupancy data shows if investments will compete

[Bridge]
Rooftop repairs and elevator maintenance
HVAC systems need replacement
Capital expenditure planning
Prevents financial crash landing

[Verse 4]
Reserve funds for major projects, aging buildings demand respect
Parking lots and plumbing fixtures, structural issues to inspect
Spreadsheet rows of future spending, ten-year outlook crystal clear
Cash flow projections accurate when cap-ex costs appear

[Chorus]
Due diligence detective, searching every corner clean
Lease terms, vacancy patterns, cap-ex budgets in between
L-V-C remembers easy, Leases Vacancy Cap-ex three
Real estate investigation, sets your investment spirit free

[Outro]
Before you buy that property, investigate with surgeon's care
Lease analysis, vacancy math, cap-ex planning everywhere

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