Deal Underwriting Engine

Know if it pencils before you're under contract.

Run the numbers a lender would run — NOI, cap rate, DSCR — then see what you actually pocket after seller financing. Structure the capital stack and draft the Letter of Intent from the same set of numbers.

Sample Underwrite Pencils
Net Operating Income $31,836
DSCR (Lender View) 1.30
Cash to Buyer at Closing +$189,400
Equity Carry structure · Illustrative deal, not a live listing
🏠 You Bring Deal Terms
📊 DealPencil Underwrites Instantly
📄 You Decide Then Send the LOI
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LOI Generation
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Runs in Your Browser
Why Deals Stall

Most deals don't fail. They stall in the spreadsheet.

The math is the easy part to get wrong — and the expensive part to get wrong late.

Guessing at DSCR

You estimate debt service in your head, submit an offer, then find out from the lender that it doesn't cover the ratio they need.

Blended Cash Flow

Senior debt and seller carry get lumped together, so you never see what a lender actually underwrites versus what lands in your pocket.

Slow Paperwork

By the time you've hand-written an LOI, a faster buyer has already put the property under contract.

What It Does

Built for deals with seller financing in the stack

Most calculators assume a single loan. DealPencil is built around the deals that don't — where seller carry changes what the lender sees versus what you keep.

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NOI & Cap Rate

Enter rent, vacancy, and operating expenses — get net operating income and cap rate instantly, recalculated on every keystroke.

📊

Lender View vs. True Cash Flow

See the DSCR your lender will underwrite against senior debt alone, next to your true net cash flow after seller carry payments.

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Equity Carry Structuring

Size a senior loan and a seller-carry note independently against the price — even past 100% combined — and see exactly what's left over as cash to the buyer at closing after fees.

📋

Instant LOI Generation

Every figure above flows straight into a printable Letter of Intent — price, financing terms, due diligence window, and expiration.

🎯

Deal Score

A single at-a-glance score, driven transparently by your DSCR against your own threshold — not a black box.

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Nothing Leaves Your Browser

No account, no backend, no data transmitted anywhere. Every calculation runs locally on your device.

Live Underwrite

Deal Calculator

Enter the property and financing details below. Every number updates live as you type.

Deals are saved in this browser only — nothing is uploaded.

Property & Income

Gross scheduled rent — $54,000/yr

Operating Expenses

Real bills go in as dollars. Only the three reserve lines below are percentages of gross rent.

$606/mo
$116/mo
$0/mo
Water, electric, lawn — $0/mo
War chest — $5,400/yr
$5,400/yr
$2,700/yr
Total Operating Expenses $0 $0/mo
= 0% of gross rent

Senior Financing (First Position)


Seller Carry

Independent of First Position LTV — combined can exceed 100%.
Manual note only — not calculated. Confirm actual balloon exposure with the seller before relying on this.

Deal Costs & Fees


Results

Cash to Buyer at Closing
Seller-carry residual, after assignment fee, lender/LLC fees & closing costs
$0
Stress Test
0
This deal pencils

DSCR clears your threshold.

NOI (Annual)
$0
Cap Rate
0%
DSCR (Lender View)
0.00
Cash-on-Cash Return
0%

Cash Flow

Annual  /  Monthly
Net Operating Income $0 $0/mo
First Position Debt Service -$0 -$0/mo
Seller Carry Payment -$0 -$0/mo
True Net Cash Flow (What You Pocket) $0 $0/mo

Financing Stack

First Position: 80% · $0 Seller Carry: 90% · $0 Cash to Buyer: $0
Final Step

Letter of Intent Generator

Fills in automatically using the deal numbers above — add the remaining details and generate a printable LOI.

Deal Details


Buyer Signers

Signer 2 Locked

Deal Terms

FLOCK‑FLY

Real Estate Acquisitions

Letter of Intent

Non-Binding · Purchase of Property

Property

[Property Address]

Date

Re: Letter of Intent to Purchase Property

We are pleased to present this Letter of Intent expressing our intention to purchase [Property Address] for the proposed purchase price of $0. This Letter of Intent outlines the key terms and conditions of our offer, subject to further negotiations and the execution of a formal purchase contract.

Summary of Proposed Terms

Purchase Price$0
Cash at Closing$0
Seller-Equity Carry$0
Monthly Payment$0
Amortization0 yrs @ 0%
Earnest Money$0 (0%)
Due Diligence0 days
ClosingWithin 0 days

Structure of the Offer

Property Condition: Property to be acquired strictly in its present "As-Is, Where-Is" condition, with no representations or warranties from the Seller.

Cash at Closing: $0. The Buyer has established lender financing relationships and can deliver without delay.

Seller-Equity Agreement (Finance Agreement): $0, amortized over 0 years at 0% interest, with monthly payments of $0 and a refinance contingency.

Seller-Equity Agreement: Simultaneously, the Buyer's LLC operating agreement is executed to reflect the Seller's minority equity interest. Escrow returns this portion to the Buyer post-closing, while the Seller retains a secured interest in the LLC for that amount, with rights to assume full ownership of the LLC in the event of default.

First Stage (All-Cash Closing): The Buyer will close all-cash, with the close contingent on the Property appraising at or above the purchase price. After closing, the Buyer may seek financing to reimburse a portion of the funds, but this does not affect the Seller. Full details will be addressed in the PSA.

Second Stage (Seller-Financing / Installment Sale): The remaining balance will be structured as seller financing through an installment sale, secured by an equity-carry arrangement that protects the Seller's interest. The Seller will receive an immediate down payment at the first close, and the installment portion will be documented in the PSA with terms designed to protect both parties. Any post-closing terms related to the JV structure or seller financing will be addressed in a separate addendum.

How the Transaction Works

1Seller Agrees to Sell Property

  • Property price: $0
  • Seller hands over the property in as-is condition.

2Stage 1 — Cash Closing

  • Buyer brings $0 cash to closing.
  • Escrow holds funds temporarily.
  • Title transfers to the Buyer's LLC, which now owns the property.
  • Seller receives their immediate cash payout of $0.

3Stage 2 — Equity Carry Agreement

  • The remaining $0 is not paid out in cash.
  • Instead, it becomes the Seller's Equity Carry (preferred equity) inside the Buyer's LLC.

4Seller's Equity Terms

  • Treated like a secured loan inside the new LLC.
  • Monthly payment of $0.
  • If the Buyer defaults, the Seller can take back 100% of the LLC without foreclosure.

What the Seller Receives

  • Immediate cash at close of $0
  • Ongoing monthly payments of $0
  • Secured "back door" ownership protections
  • Tax-advantaged structure (installment sale)

Seller Protection Clause: The Buyer and Seller will structure the transaction so that the Seller retains a minority equity interest. The agreement will include provisions allowing the Seller to regain control of the ownership entity if the Buyer defaults on their financial obligations. Full terms will be detailed in the PSA and related operating agreement.

Terms & Conditions

Deposit: Earnest Money Deposit (EMD) equal to 0% of the purchase price ($0).

Earnest Money: Shall become non-refundable upon expiration of the Feasibility Period. Any extension of the Feasibility Period would require mutual agreement between the parties, with terms to be finalized in the PSA.

Inspection Period: The Buyer shall have a 0-day due diligence period following execution of the PSA to complete inspections and review relevant information. The Earnest Money Deposit will become non-refundable upon completion of this period.

Provision of Financial and Operational Documentation: The Seller will provide the Buyer with all financial, operational, and tenant-related records reasonably necessary to complete due diligence.

Closing Date: Closing to occur within 0 days or sooner following full execution of the Agreement. The Buyer is positioned to close earlier if conditions permit. A one-time extension of 15 days may be granted upon mutual agreement.

Closing Costs: The Buyer will pay all standard closing costs and prorated property taxes. The Seller will remain responsible only for broker commissions. The Buyer will also cover any survey required for the transaction.

Contingencies to Closing: Buyer shall have a due diligence period to conduct property inspections, review relevant documentation, and complete any financing or appraisal contingencies. This Letter of Intent is non-binding and is provided only as a preliminary outline of proposed terms. A formal Purchase and Sale Agreement will be required to create any legal obligations between the parties.

Additional Contingencies:

This Letter of Intent is valid until 11:59 PM PST on . If an executed copy of this letter is not received by that date, this Letter of Intent will be considered withdrawn.

We look forward to further discussions and negotiations to reach a mutually beneficial agreement. Please do not hesitate to contact us to initiate the next steps in this process.

Sincerely,

Marc Amyre F. Bihis

Partner Investor

Acquisitions Manager

(949) 470-7426

marcamyre@gmail.com

Philip G. Carey

Manager/Investor

Equity Investments

(859) 756-7057

philip.equity.investments@gmail.com

Date

 

By:

Buyer: Firebird Holdings

ACCEPTANCE THIS DATE:

 

Date

 

By:

Seller: [Seller Name]

FLOCK-FLY  ·  Non-binding letter of intent. Not a contract. Subject to a definitive Purchase and Sale Agreement.

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