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Short notes on every word and step. The same notes power the Questions? Ask here button at the top of every page.

This helper only explains words and steps. It does not calculate numbers or give investment advice.

The six steps

ForgeGate walks a property through six steps: add the property, take a quick first look, inspect and list repairs, run the final check, approve and confirm the money, then fix it up, rent it and refinance. You finish one step before the next one opens.

Step 1: Add the property

Step 1 records the address, the county parcel number, the market and where the lead came from. ForgeGate checks that the same property is not already in the system.

Step 2: Quick first look

Step 2 is a fast first check. You enter the asking price, a first guess at the value after repairs, a first guess at the rent and a low and high repair estimate. ForgeGate uses the high repair estimate and standard starter assumptions to run the numbers, then shows which rules pass.

Step 3: Inspect and list repairs

Step 3 records the inspection and turns the repair guess into a line by line list. Each line needs a source, such as a contractor bid with the bid document attached. You also add at least one photo.

Step 4: Final check

Step 4 runs the full numbers again with your best evidence, tests what happens if things go worse than planned, and needs a written lender quote. The final check uses the saved quote's interest rate, points and kind of loan; without a quote it uses the starter terms. The rules check must have no blocking problems before Step 5.

Step 5: Approve and confirm the money

Step 5 locks a copy of the numbers, records the approval, and confirms the money to buy is really there by attaching proof of funds. Moving on without that proof needs a separate, recorded override.

Step 6: Fix, rent, refinance

Step 6 tracks the work: repair progress, spending against the repair budget, the signed lease, the refinance and the first month of results. When all four are recorded with their documents, the property is Stabilized.

ARV (value after repairs)

ARV means after repair value: what the property should be worth once the repairs are done. It should come from outside evidence such as a realtor's comparable sales report or an appraisal, with the document attached.

DSCR (rent covers the loan)

DSCR compares the yearly rent left after running costs with the yearly loan payments. Above one means the rent covers the loan with room to spare. The minimum comes from the investment policy. Until the principal approves it, the policy is proposed.

NOI (rent after running costs)

NOI means net operating income: the rent you expect to collect, minus running costs like taxes, insurance, management and repair reserves. Loan payments are not taken out.

Monthly profit (cash flow)

Monthly profit is the money left each month after running costs, reserves and the loan payment. ForgeGate's engine calculates it; this helper never does.

Cash-on-cash

Cash-on-cash compares a year of cash flow with the cash you still have in the deal after the refinance. If all your cash came back out, ForgeGate says so instead of showing a ratio.

Loan-to-value and loan-to-cost

Loan-to-value compares the new loan with the property's value after repairs. Loan-to-cost compares the purchase loan with the total project cost. Lenders use both to limit how much they lend.

Contingency

Contingency is a cushion added on top of the repair budget for surprises. The policy sets a minimum cushion, and Step 3 checks it.

Green, yellow and red

Green means the rule passed. Yellow means it passed but is close to the limit or needs a person to look. Red means it did not pass. The limits come from the investment policy. Until the principal approves it, each color says the cutoff is proposed.

The rules check (Governor)

The rules check compares the numbers and the evidence with the investment policy. A blocking problem stops the deal from moving on until it is fixed. It cannot be skipped.

Investment policy status

The investment policy holds the limits the rules check uses. It stays proposed until the company principal approves it, on the Admin page, by typing a confirmation phrase.

Overrides

Only the funding confirmation at the approval step (Step five) can be overridden, by the principal, with a written reason of at least twenty characters. Stop signs are never waived. The reason is saved in the history.

Evidence and documents

Upload PDF, PNG, JPEG or WEBP files up to the size limit shown on the page. A number counts as outside evidence only when its document is attached. Without a document it is treated as an estimate.

Who can do what

Principal: view deals; add properties; run the quick first look, add newer evidence and record contract prices; record inspections; save repair lists; record repair progress and finished repairs; upload documents and photos; run the final check and lock the numbers; save lender quotes and confirm funds; record spending and the first month; record the refinance; record the lease; move the deal forward; override the missing funding confirmation at the approval step; approve deals; invite people; set markets; and approve the investment policy. Finance: view deals; upload documents and photos; run the quick first look, add newer evidence and record contract prices; run the final check and lock the numbers; save lender quotes and confirm funds; record spending and the first month; record the refinance; and move the deal forward. Cannot approve deals. Project manager: view deals; add properties; record inspections; save repair lists; record repair progress and finished repairs; upload documents and photos; record spending and the first month; record the lease; and move the deal forward. Cannot run the numbers or approve deals. Field: view deals; record repair progress and finished repairs; and upload documents and photos. Cannot run the numbers or approve deals.

Signing in and passwords

Sign in with your email and password. After several wrong tries the account pauses for a short time. Use Forgot password to get a reset link by email.

History (audit trail)

Every change is saved in the history with who made it and when. Nothing in the history can be edited or deleted.

Printing a summary

Each deal has a one page summary you can print or save as a PDF from your browser.

Starter assumptions for the quick first look

The quick first look uses these terms (set fg006-starter-1). The final check uses them too, except that a saved lender quote's interest rate, points and kind of loan replace the starter ones. They are proposed and awaiting approval. To compare other loan terms, use the Underwriting tab at Step 5, before the numbers are locked. While a contract price or a lender quote is on file, those runs are for comparison only; the numbers you lock come from the final check.

Values, rents and repair prices go out of date (value after 90 days, rent and repair prices after 120 days). Keep them current until the deal reaches Step 6.