Definition
A projection of a property's future income and expenses, used to evaluate potential performance.
Example
The seller's pro forma assumed zero vacancy and full renovation premiums on every unit.
Related terms
Frequently asked questions
What does Pro Forma mean in real estate?
A projection of a property's future income and expenses, used to evaluate potential performance.
How is Pro Forma used in practice?
The seller's pro forma assumed zero vacancy and full renovation premiums on every unit.
This definition is provided for educational purposes. Legal and tax terminology can carry jurisdiction-specific meaning — confirm with a licensed professional before relying on it in a transaction.