| Projected Income | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Gross Rent | $24,000 | $24,720 | $25,462 | $26,225 | $27,012 | $27,823 | $28,657 | $29,517 | $30,402 | $31,315 |
| Vacancy Losses | ($1,920) | ($1,978) | ($2,037) | ($2,098) | ($2,161) | ($2,226) | ($2,293) | ($2,361) | ($2,432) | ($2,505) |
| Operating Income | $22,080 | $22,742 | $23,425 | $24,127 | $24,851 | $25,597 | $26,365 | $27,156 | $27,970 | $28,809 |
| Estimated Expenses | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Property Taxes | ($1,650) | ($1,699) | ($1,750) | ($1,803) | ($1,857) | ($1,913) | ($1,970) | ($2,029) | ($2,090) | ($2,153) |
| Insurance | ($495) | ($510) | ($525) | ($541) | ($557) | ($574) | ($591) | ($609) | ($627) | ($646) |
| Management Fees | ($1,766) | ($1,819) | ($1,874) | ($1,930) | ($1,988) | ($2,048) | ($2,109) | ($2,172) | ($2,238) | ($2,305) |
| Leasing/Advertising Fees | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Association Fees | ($1,020) | ($1,051) | ($1,082) | ($1,115) | ($1,148) | ($1,182) | ($1,218) | ($1,254) | ($1,292) | ($1,331) |
| Maintenance | ($480) | ($494) | ($509) | ($525) | ($540) | ($556) | ($573) | ($590) | ($608) | ($626) |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Operating Expenses | ($5,411) | ($5,574) | ($5,741) | ($5,913) | ($6,091) | ($6,273) | ($6,461) | ($6,655) | ($6,855) | ($7,061) |
| Income Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Net Operating Income | $16,669 | $17,169 | $17,684 | $18,214 | $18,761 | $19,324 | $19,903 | $20,500 | $21,115 | $21,749 |
| - Mortgage Payments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| = Cash Flow | $16,669 | $17,169 | $17,684 | $18,214 | $18,761 | $19,324 | $19,903 | $20,500 | $21,115 | $21,749 |
| + Principal Reduction | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| + Appreciation | $19,799 | $20,987 | $22,247 | $23,581 | $24,996 | $26,496 | $28,086 | $29,771 | $31,557 | $33,451 |
| = Gross Equity Income | $36,468 | $38,156 | $39,930 | $41,796 | $43,757 | $45,820 | $47,989 | $50,271 | $52,673 | $55,199 |
| Capitalization Rate | 4.8% | 4.6% | 4.5% | 4.4% | 4.2% | 4.1% | 4.0% | 3.9% | 3.8% | 3.7% |
| Cash on Cash Return | 5.0% | 5.2% | 5.3% | 5.5% | 5.6% | 5.8% | 6.0% | 6.2% | 6.3% | 6.5% |
| Return on Equity | 10.4% | 10.3% | 10.2% | 10.0% | 9.9% | 9.8% | 9.7% | 9.6% | 9.4% | 9.3% |
| Loan Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Market Value | $349,789 | $370,777 | $393,023 | $416,605 | $441,601 | $468,097 | $496,183 | $525,954 | $557,511 | $590,962 |
| - Loan Balance | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| = Equity | $349,789 | $370,777 | $393,023 | $416,605 | $441,601 | $468,097 | $496,183 | $525,954 | $557,511 | $590,962 |
| Loan-to-Value Ratio | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Potential Cash-Out Refi | $314,810 | $333,699 | $353,721 | $374,944 | $397,441 | $421,287 | $446,565 | $473,359 | $501,760 | $531,866 |
| Sale Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Equity | $349,789 | $370,777 | $393,023 | $416,605 | $441,601 | $468,097 | $496,183 | $525,954 | $557,511 | $590,962 |
| - Closing Costs | ($24,485) | ($25,954) | ($27,512) | ($29,162) | ($30,912) | ($32,767) | ($34,733) | ($36,817) | ($39,026) | ($41,367) |
| = Proceeds After Sale | $325,304 | $344,822 | $365,512 | $387,442 | $410,689 | $435,330 | $461,450 | $489,137 | $518,485 | $549,595 |
| + Cumulative Cash Flow | $16,669 | $33,837 | $51,521 | $69,735 | $88,496 | $107,820 | $127,723 | $148,223 | $169,339 | $191,088 |
| - Approximate Cash Invested | ($333,290) | ($333,290) | ($333,290) | ($333,290) | ($333,290) | ($333,290) | ($333,290) | ($333,290) | ($333,290) | ($333,290) |
| = Net Profit | $8,683 | $45,370 | $83,743 | $123,888 | $165,895 | $209,860 | $255,883 | $304,071 | $354,534 | $407,392 |
| Internal Rate of Return | 2.6% | 6.7% | 8.1% | 8.8% | 9.2% | 9.4% | 9.5% | 9.6% | 9.7% | 9.7% |
| Return on Investment | 2.6% | 13.6% | 25.1% | 37.2% | 49.8% | 63.0% | 76.8% | 91.2% | 106.4% | 122.2% |
*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.