| Projected Income | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Gross Rent | $25,200 | $25,956 | $26,735 | $27,537 | $28,363 | $29,214 | $30,090 | $30,993 | $31,923 | $32,880 |
| Vacancy Losses | ($2,016) | ($2,076) | ($2,139) | ($2,203) | ($2,269) | ($2,337) | ($2,407) | ($2,479) | ($2,554) | ($2,630) |
| Operating Income | $23,184 | $23,880 | $24,596 | $25,334 | $26,094 | $26,877 | $27,683 | $28,513 | $29,369 | $30,250 |
| Estimated Expenses | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Property Taxes | ($1,700) | ($1,751) | ($1,803) | ($1,858) | ($1,913) | ($1,971) | ($2,030) | ($2,091) | ($2,153) | ($2,218) |
| Insurance | ($510) | ($525) | ($541) | ($557) | ($574) | ($591) | ($609) | ($627) | ($646) | ($665) |
| Management Fees | ($1,855) | ($1,910) | ($1,968) | ($2,027) | ($2,088) | ($2,150) | ($2,215) | ($2,281) | ($2,350) | ($2,420) |
| 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 | ($504) | ($519) | ($535) | ($551) | ($567) | ($584) | ($602) | ($620) | ($638) | ($658) |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Operating Expenses | ($5,589) | ($5,756) | ($5,929) | ($6,107) | ($6,290) | ($6,479) | ($6,673) | ($6,873) | ($7,080) | ($7,292) |
| 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 | $17,595 | $18,123 | $18,667 | $19,227 | $19,804 | $20,398 | $21,010 | $21,640 | $22,289 | $22,958 |
| - Mortgage Payments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| = Cash Flow | $17,595 | $18,123 | $18,667 | $19,227 | $19,804 | $20,398 | $21,010 | $21,640 | $22,289 | $22,958 |
| + Principal Reduction | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| + Appreciation | $20,399 | $21,623 | $22,921 | $24,296 | $25,754 | $27,299 | $28,937 | $30,673 | $32,514 | $34,464 |
| = Gross Equity Income | $37,995 | $39,747 | $41,588 | $43,523 | $45,557 | $47,697 | $49,947 | $52,313 | $54,803 | $57,422 |
| Capitalization Rate | 4.9% | 4.7% | 4.6% | 4.5% | 4.4% | 4.2% | 4.1% | 4.0% | 3.9% | 3.8% |
| Cash on Cash Return | 5.1% | 5.3% | 5.4% | 5.6% | 5.8% | 5.9% | 6.1% | 6.3% | 6.5% | 6.7% |
| Return on Equity | 10.5% | 10.4% | 10.3% | 10.1% | 10.0% | 9.9% | 9.8% | 9.7% | 9.5% | 9.4% |
| Loan Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Market Value | $360,389 | $382,013 | $404,934 | $429,230 | $454,983 | $482,282 | $511,219 | $541,892 | $574,406 | $608,870 |
| - Loan Balance | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| = Equity | $360,389 | $382,013 | $404,934 | $429,230 | $454,983 | $482,282 | $511,219 | $541,892 | $574,406 | $608,870 |
| 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 | $324,350 | $343,811 | $364,440 | $386,307 | $409,485 | $434,054 | $460,097 | $487,703 | $516,965 | $547,983 |
| Sale Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Equity | $360,389 | $382,013 | $404,934 | $429,230 | $454,983 | $482,282 | $511,219 | $541,892 | $574,406 | $608,870 |
| - Closing Costs | ($25,227) | ($26,741) | ($28,345) | ($30,046) | ($31,849) | ($33,760) | ($35,785) | ($37,932) | ($40,208) | ($42,621) |
| = Proceeds After Sale | $335,162 | $355,272 | $376,588 | $399,183 | $423,134 | $448,523 | $475,434 | $503,960 | $534,198 | $566,249 |
| + Cumulative Cash Flow | $17,595 | $35,719 | $54,385 | $73,612 | $93,416 | $113,814 | $134,824 | $156,464 | $178,753 | $201,711 |
| - Approximate Cash Invested | ($343,390) | ($343,390) | ($343,390) | ($343,390) | ($343,390) | ($343,390) | ($343,390) | ($343,390) | ($343,390) | ($343,390) |
| = Net Profit | $9,368 | $47,601 | $87,584 | $129,406 | $173,161 | $218,947 | $266,868 | $317,034 | $369,561 | $424,570 |
| Internal Rate of Return | 2.7% | 6.9% | 8.2% | 8.9% | 9.3% | 9.5% | 9.6% | 9.7% | 9.8% | 9.8% |
| Return on Investment | 2.7% | 13.9% | 25.5% | 37.7% | 50.4% | 63.8% | 77.7% | 92.3% | 107.6% | 123.6% |
*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.