In this article, we'll be explaining how to navigate the Revenue section of Aprao, and show you how to input revenue into your appraisal. You can follow along on this article by watching the video below!
The types of revenue
In Aprao, you can add three types of revenue: Residential, Operated Asset and Income. Income can be anything from rental income during the development phase, to the sale of a freehold or the sale of additional revenue sources such as parking - anything that isn't a sale of a unit can be factored into the Income group.
Add a group
There are three options to choose from and you can use the one most relevant to your appraisal. Choose from "Add Residential Group", "Add Operated Asset Group" or "Add Income Group". Once you have decided on a revenue type, click on it to edit its features.
For example, if you were to choose "Add Residential Group", then you can also "add unit(s)" on the right-hand side of the screen. Within the drop-down for this, you can customise the number of units, area per unit, total area, value per unit and total value per unit as can be seen below. When you're happy with the information you've inputted, click "Add X Unit(s)" as shown in the image. You will see the number of units and associated info automatically adjust based on what you've inputted.
You'll be able to see all the information fully populated once you've done this. But it's important to note that all of the information that is shown is fully editable within this Revenue tab - simply click on the figure you want to edit, such as the value per unit for example, and watch the numbers automatically adjust based on the new information inputted.
As can be seen in the example below, When adding units under "Add Operated Asset Group", you'll also be able to adjust the rent, rent per square foot, rent-free months and yield percentage - Aprao will then automatically calculate the capital value of the unit you're working with.
You'll easily be able to make tweaks to the yield, rent-free period, rent per square foot or metre at any time throughout the process of working on your appraisal - to see the effect on the capital value in real-time.
Under this, you'll be able to see the deposit figure. This is for reservation deposits or exchange monies, and you can choose where this money comes in from within the cashflow section of Aprao.
Under deposits, you'll find the associated costs including agent and legal fees. Within these fees, you can easily change the numbers and adjust them based on new information as percentages of GDVs. If you change the percentage of GDV, the cost changes and vice versa. You can add additional costs here and even customise the name to make it easy for you to recognise in your appraisal. Click "add custom cost" to add it once you've settled on the information you'd like to include. 🚀
When working within the "Operated Asset Group" you'll be able to adjust both operating costs and associated costs!
Breaking down units
In Aprao, you also have the ability to break down a group of units - a great way to go into detail on a set of units, particularly if each unit is slightly different! In Aprao, you can break that down and easily tweak the areas on a unit-by-unit basis. To do this, in the Income area, go to the group you'd like to look at further, click the three-dotted icon and click "break down" on the drop-down menu. This will then reveal all your units in an ordered list.
From here, feel free to edit the area on a unit-by-unit basis, the values on a unit-by-unit basis, or the value per square foot or metre on a unit-by-unit basis - all the numbers will automatically adjust in relation to your edits for this section.
You can add as many revenue groups as you would like to the appraisal, using the 3 revenue types Aprao has. Hopefully, this article has answered your questions about the revenue section, but if you have any specific questions, please do reach out to email@example.com.