Estimated Cash Flow 26 Identical Units |
|
Current Rents |
|
Rent per unit per/mo |
$675 |
| Purchase Price ($60k per unit) | $1,560,000 |
| Down Payment (40%) | $624,000 |
| Loan Amount | $936,000 |
| Loan/Value % | 60.00% |
| Interest Rate | 6.50% |
| Mortgage Payment/ Mo | ($5,916) |
| Gross Income/mo | $17,550 |
| Gross Scheduled Income/yr | $210,600 |
| Less Vacancy @ 5% | $10,530 |
| Gross Effective Income | $200,070 |
| Less Operating Expenses: | |
| Professional Management 6% | $12,636 |
| Resident Manager | $5,400 |
| Water, Sewer, Trash | $10,920 |
| Gardening | $2,220 |
| Taxes | $18,720 |
| Insurance | $4,680 |
| Utilities | $1,560 |
| Repairs | $6,318 |
| Operating Expenses/yr - Total | $62,454 |
| Operating Expenses/yr (% of income) | 29.66% |
| Net Operating Income | $148,146 |
| Less Debt Service | ($70,994) |
| Operating Expenses & Vacancy % of Income | 35% |
| Cap Rate | 9.50% |
| Gross Multiple | 7.41 |
| Op Profit/yr after mortgage payment | $66,622 |
| OP Profit Cash Flow/mo | $5,552 |
| Cash Flow/yr (% of Down Payment) | 10.7% |
Investors | Single Family Homes | Multi Family Properties
Worksheet courtesy of Larry Hawkins Real Estate in Fresno, CA.
© 2010 Larry Hawkins Real Estate. All rights reserved.