Understanding Invelo's Profit Analyzer

Invelo’s Profit Analyzer helps you evaluate whether a potential deal is financially viable before moving forward. By entering estimated purchase, rehab, holding, financing, and selling costs, the tool calculates key profitability metrics so you can determine if a lead or opportunity aligns with your investment goals. Currently, Invelo supports Buy and Sell profit analysis only.

You can find the Profit Analyzer by going to a single property record and selecting the Profit Analyzer tab. This feature is only available to Growth and Professional plan users.

What is the Profit Analyzer?

The Profit Analyzer is a built-in evaluation tool designed to help real estate investors analyze the potential profitability of a deal. It brings together estimated costs, timelines, and exit details in one place and automatically calculates projected profit, return on investment (ROI), cash-on-cash return, and other key metrics based on the information you provide.

This allows you to quickly assess whether a lead or opportunity is worth pursuing before committing to the deal.

Deal Overview and Metrics

Deal Overview

This section summarizes your deal at a high level:

• Sale Price – Expected resale price or market value.

• Purchase Price – Price you plan to acquire the property for.

• Construction Costs – Total rehab or renovation expenses.

• Financing Costs – Loan-related costs such as interest and points.

• Holding Costs – Ongoing expenses during ownership.

• Purchase & Selling Costs – Closing costs, commissions, and fees.

• End Buyer Profit (Wholesale) – Profit allocated to the end buyer for wholesale deals.

• Total Costs – Automatically calculated sum of all costs.

• Profit – Estimated net profit after all expenses.

• Purchase Date & Sale Date – Used to calculate hold time.

• Hold Time (Months) – Duration between purchase and sale.

Deal Metrics

These metrics are automatically calculated once data is entered:

• Profit – Net earnings from the deal.

• ROI – Return on investment.

• Annualized ROI – ROI adjusted to a yearly basis.

• Cash on Cash (CoC) Return – Cash profit relative to cash invested.

• Annualized CoC Return – Yearly cash-on-cash performance.

• Cash Outlay – Total cash invested in the deal.

• Profit Spread (% of Sale Price) – Profit as a percentage of sale price.

• Purchase & Rehab ROI – Return based on acquisition and rehab costs.

Purchase and Sale Summary

This section outlines your entry and exit assumptions:

• Purchase Price & Date – Initial acquisition details.

• Hold Time – Duration the property is held.

• Sale Price – Expected sale price (can include estimated market value).

• Sale Date – Based on hold time or a specific date.

• Wholesale (End Buyer Profit) – Used when analyzing wholesale deals.

Purchase Costs

Breakdown of costs incurred when acquiring the property:

• Closing Costs – Can be entered as a dollar amount or percentage of purchase price.

• Lender Fees & Points – Financing-related upfront costs.

• Home Inspection – Inspection expenses.

• Other Costs – Any additional acquisition-related expenses.

• Total Purchase Costs – Automatically calculated.

Construction Costs

Used to estimate rehab expenses:

• Cost per Square Foot – Estimated rehab cost per square foot.

• Building Square Footage – Property size.

• Total Construction Costs – Automatically calculated.

Financing

Define how the deal is funded:

• Cash – Portion funded with cash.

• Loan 1 & Loan 2 – Enter loan amounts, points, interest rates, and monthly payments.

• Total Loan Amount – Combined loan balances.

• Total Monthly Payment – Sum of all loan payments.

Holding Costs

Ongoing expenses during ownership, calculated monthly and in total:

• Lender Payments

• Property Taxes

• HOA / Condo Fees

• Insurance

• Utilities

• Other Costs

• Total Holding Costs – Automatically calculated.

Selling Costs

Expenses incurred when exiting the deal:

• Agent Commission – Dollar amount or percentage of sale price.

• Closing Costs – Selling-side closing costs.

• Additional Fees – Any extra selling expenses.

• Home Warranty

• Staging

• Other Costs

• Total Selling Costs – Automatically calculated.

Final Profit

Once all inputs are completed, the analyzer calculates your final profit, giving you a clear view of whether the deal aligns with your investment goals.