Real Estate Investment Business Plan Examples



Real estate investing is serious business and the way serious wealth is created. Creating that wealth is not magic. It takes planning. Specifically, it requires a well thought out business plan.

I’ve previously written about finding private investors for your real estate business. Private investors are out there but you need to demonstrate to them that you have a solid business plan. Here, I provide a few examples to give you a better idea of what these investors are looking for.

The Critical Executive Summary

The executive summary is an overview of your entire real estate investment business plan. It needs to be one to two pages convincing the executive that you run a competent business and have a bright future that is worthy of investing his or her money. If the executive summary doesn’t grab the reader’s attention, the remainder of the business plan is moot and won’t be read. Here is a short example of an opening paragraph.

Western Real Estate is a California based real estate company offering deluxe rental units in the San Diego, California community. Western’s condo-style apartments combine security, cutting edge features, and a positive atmosphere for all tenants. These rentals come with unmatched levels of customer service and attention. Profits are projected to exceed 18% for at least the next three years.

Another important section of your business plan to be included in the executive summary is an accurate description of the market being served. Here is an example.

San Diego is expected to continue experiencing a shortage of apartments over the next 24 months. As of the most recent financial quarter, the average vacancy rate was a mere 3.5%. Population is forecast to grow 1.2% over the same 24 months, with approximately half of the new population being renters.

This is an exciting time for Western Real Estate because the forecasted need is for an additional 9,300 rental units but less than 1,800 are planned for construction. Western Real Estate is convinced that our occupancy rate will remain above 97%, while simultaneously generating premium rents.

Other subjects your investment business plan summary needs to cover are:

  • The business strategy.
  • A summary of the financial projections.
  • The management team.
  • The investment being sought.

Without these sections of your business plan highlighted in the executive summary, you’re not likely to gain the interest of potential investors.

What to Avoid in the Executive Summary of Your Business Plan

Your real estate investment business plan summary needs to be written in an interesting manner. It should not be a table of contents to the rest of the plan or a cut and paste from the major sections of your business plan.

The executive summary needs to stand alone as an introduction to your business. Excessive exaggeration and hype only serve to turn off serious investors that have read enough business plans to know when they are being fed BS.

Please leave a comment if this article was helpful or if you have a question.

Author bio: Brian Kline has been investing in real estate for more than 35 years and writing about real estate investing for seven years. He also draws upon 35 plus years of business experience including 12 years as a manager at Boeing Aircraft Company. Brian currently lives at Lake Cushman, Washington. A vacation destination, a few short miles from a national forest. In the Olympic Mountains with the Pacific Ocean a couple of miles in the opposite direction.

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