DFW * Duplexes 6/4
| Property Specifications |
2 |
Per Door |
| Â Bedrooms |
6 |
3 |
| Â Bathrooms |
4 |
2.0 |
| Â Square Feet |
2312 |
1156 |
| Â Year Built |
1985 |
 |
| Â Garage Size |
2 |
1 |
| Â Schools Rating (on scale of A-F) |
B |
 |
| Purchase Assumptions |
My Offer |
Per Door |
| Offer used for analysis |
$360,000 |
$180,000 |
| Suggested offer (low) |
$360,000 |
$180,000 |
| Suggested offer (high) |
$360,000 |
$180,000 |
| Asking |
$360,000 |
$180,000 |
| Market Value (after improvements) |
$360,000 |
 |
| Improvements (lower) |
$6,500 |
$3,250 |
| Improvements (upper) |
$8,500 |
$4,250 |
| Closing Costs |
$4,000 |
$2,000 |
| Mortgage Costs |
$4,000 |
$2,000 |
| Other Fees At Closing |
$0 |
$0 |
| Total Cost |
$375,500 |
$2,000 |
| Financing Assumptions |
 |
| Â Down Payment (%) |
25% |
| Â Down Payment Amount |
$90,000 |
| Â Financed Amount |
$270,000 |
| Â Interest Rate |
3.40% |
| Â Mortgage Term (Years) |
30 |
| Â Monthly Mortgage Payment |
$1,197 |
| Â Cash Outlay (Total Out of Pocket) |
$105,500 |
| Financial Assumptions |
Monthly |
Yearly |
| Rent (upper) |
$3,100 |
$3,200 |
$38,400 |
| Rent (lower) |
$3,000 |
$36,000 |
| Â Property Tax Rate (Approx.) |
2.3% |
 |
| Â Property Taxes |
$300 |
$3,600 |
| Â Insurance |
$150 |
$1,800 |
| Â Repairs |
$150 |
$1,800 |
| Variable-Cost PM |
Flat Fee |
 |
| Property Management Fee |
$200 |
$2,400 |
| Â Leasing Fee |
80% |
$103.3 |
$1,240 |
| Â HOA |
$0 |
$0 |
| Â Vacancy Rate |
4.0% |
 |
| Â Total Fixed Expenses |
$1,019 |
$12,232 |
| Â Total Expenses (Fixed + Mortgage) |
$2,217 |
$26,601 |
| Financial Analysis / Deal Attractiveness |
 |
| Years: |
5 |
10 |
| Â Cap Rate |
11.0% |
12.3% |
| Â Net Cash Flow |
$58,091 |
$129,705 |
| Â Equity Increase |
$106,231 |
$234,585 |
| Â Total Gain |
$164,322 |
$364,289 |
| Â |
 |
 |
| Â Average Cash Flow/Year |
$11,618 |
$12,970 |
| Â Average Cash Flow/Month |
$968 |
$1,081 |
| Â Average Gain/Year |
$32,864 |
$36,429 |
| Â Average ROI |
155.8% |
345.3% |
| Â Annual ROI |
31.2% |
34.5% |
| Â Projected Property Value |
$437,995 |
$532,888 |
| Property Ratings Suggestions |
| Â Item |
 |
 |
 Suggested Criteria (Min.) |
This Property |
FAVORABLE /
INSUFFICIENT |
| Â Schools |
 |
 |
B |
B |
FAVORABLE |
| Â Square Feet |
 |
1000 |
2312 |
FAVORABLE |
| Â Bedrooms |
 |
 |
3 |
6 |
FAVORABLE |
| Â Bathrooms |
 |
2 |
4 |
FAVORABLE |
| Â Year Built |
 |
 |
1970 |
1985 |
FAVORABLE |
| Â Rent/Price (%) |
 |
0.75% |
0.89% |
FAVORABLE |
| Â Average Cash Flow (at year 5) |
$125 |
$968 |
FAVORABLE |
| Â Average ROI (at year 5) |
15% |
31.2% |
FAVORABLE |
