Real Estate Equity Research Interview Help

Hi Guys,

I have a real estate research associate interview coming up. I am from a non real estate background though. I was wondering if I could pick your brains on what to expect. The first round is with the analyst, I believe. Any pointers will be much appreciated!

You taking Reit?

Yep, thanks!

Know ffo cap rates and the like. PM me for more detail


So, I made it to the final round (hopefully) and I am supposed to value a REIT and write a short report. I am thinking of using a NAV model and P/FFO & P/AFFO multiples for the same as opposed to a full blown 3 statement forecast and DCF as i understand from my limited knowledge of REITs that the DCF will not be as useful plus a 5+ years three statement forecast with my limited knowledge of the industry would not be ideal.


Not sure how much time you have, but if you could throw in the Unlevered IRR Analysis, it might help.

NAV model and P/FFO & P/AFFO multiples methods sound good to me.

And make sure you specify some of the key assumptions for NAV model and further elaborate on things that add value in analysis as this can show them you’re not just plugging in numbers.

And what do you mean by “I made it to the final round (hopefully)”? Did you make it to the final round or are you still waiting? And I’m sure you won’t, but don’t mention anything along the lines of your “limited knowledge of the industry.” Sometimes people group humility and incompetancy into one bucket, and now isn’t the right time to test out if your potential employer cares to distinguish the two.

Good luck!

DCF is garbage in RE so don’t bother with it. Comps and NAV son.


Thanks for the suggestions! By hopefully, I meant that I hope its the final round. Agreed on the “limited knowledge” bit.

A quick clarification on the unlevered IRR. would that be only for future acquisitions or does it apply to current holdings too?


Thanks! That does reassure me. So, do you think that a 3 statement forecast is necessary? If NOI, FFO and AFFO are all I need then there is there a point in giving them the opportunity to trip me up on the s***load of assumptions that need to go into the 3 statement forecast.

Got the job!

Thanks for all your help!

Respect. Make us proud lil cubby!

Good job! Hammer the opportunity.