Live From The Field
Purchase Assumptions | My Offer | Per Door |
Offer used for analysis | $320,000 | $160,000 |
Suggested offer (low) | $320,000 | $160,000 |
Suggested offer (high) | $320,000 | $160,000 |
Asking | $320,000 | $160,000 |
Market Value (after improvements) | $320,000 | |
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 | $335,500 | $2,000 |
Purchase Assumptions | My Offer | Per Door |
Offer used for analysis | $320,000 | $160,000 |
Suggested offer (low) | $320,000 | $160,000 |
Suggested offer (high) | $320,000 | $160,000 |
Asking | $320,000 | $160,000 |
Market Value (after improvements) | $320,000 | |
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 | $335,500 | $2,000 |
Financial Assumptions | Monthly | Yearly |
Rent (upper) | $2,700 | $2,800 | $33,600 |
Rent (lower) | $2,600 | $31,200 |
Property Tax Rate (Approx.) | 2.3% | |
Property Taxes | $300 | $3,600 |
Insurance | $150 | $1,800 |
Repairs | $150 | $1,800 |
Variable-Cost PM | Flat Fee | |
Property Management Fee | $200 | $2,400 |
Leasing Fee | 80% | $90.0 | $1,080 |
HOA | $0 | $0 |
Vacancy Rate | 4.0% | |
Total Fixed Expenses | $990 | $11,880 |
Total Expenses (Fixed + Mortgage) | $2,054 | $24,652 |
Financial Analysis / Deal Attractiveness | |
Years: | 5 | 10 |
Cap Rate | 9.0% | 10.2% |
Net Cash Flow | $42,926 | $96,966 |
Equity Increase | $94,428 | $208,520 |
Total Gain | $137,354 | $305,486 |
| | |
Average Cash Flow/Year | $8,585 | $9,697 |
Average Cash Flow/Month | $715 | $808 |
Average Gain/Year | $27,471 | $30,549 |
Average ROI | 143.8% | 319.9% |
Annual ROI | 28.8% | 32.0% |
Projected Property Value | $389,329 | $473,678 |
Property Ratings Suggestions |
Item | | | Suggested Criteria (Min.) | This Property | FAVORABLE / INSUFFICIENT |
Schools | | | B | B | FAVORABLE |
Square Feet | | 1000 | 2312 | FAVORABLE |
Bedrooms | | | 3 | 4 | FAVORABLE |
Bathrooms | | 2 | 4 | FAVORABLE |
Year Built | | | 1970 | 1985 | FAVORABLE |
Rent/Price (%) | | 0.75% | 0.88% | FAVORABLE |
Average Cash Flow (at year 5) | $125 | $715 | FAVORABLE |
Average ROI (at year 5) | 15% | 28.8% | FAVORABLE |