| 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 | ($1,850) | ($1,905) | ($1,963) | ($2,021) | ($2,082) | ($2,145) | ($2,209) | ($2,275) | ($2,343) | ($2,414) |
| Insurance | ($555) | ($572) | ($589) | ($606) | ($625) | ($643) | ($663) | ($683) | ($703) | ($724) |
| Management Fees | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Leasing/Advertising Fees | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Association Fees | ($1,080) | ($1,112) | ($1,146) | ($1,180) | ($1,216) | ($1,252) | ($1,290) | ($1,328) | ($1,368) | ($1,409) |
| Maintenance | ($504) | ($519) | ($535) | ($551) | ($567) | ($584) | ($602) | ($620) | ($638) | ($658) |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Operating Expenses | ($3,989) | ($4,109) | ($4,232) | ($4,359) | ($4,490) | ($4,624) | ($4,763) | ($4,906) | ($5,053) | ($5,205) |
| 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 | $19,195 | $19,771 | $20,364 | $20,975 | $21,604 | $22,252 | $22,920 | $23,608 | $24,316 | $25,045 |
| - Mortgage Payments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| = Cash Flow | $19,195 | $19,771 | $20,364 | $20,975 | $21,604 | $22,252 | $22,920 | $23,608 | $24,316 | $25,045 |
| + Principal Reduction | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| + Appreciation | $22,199 | $23,531 | $24,943 | $26,440 | $28,026 | $29,708 | $31,490 | $33,380 | $35,382 | $37,505 |
| = Gross Equity Income | $41,394 | $43,302 | $45,307 | $47,415 | $49,630 | $51,960 | $54,410 | $56,987 | $59,698 | $62,551 |
| Capitalization Rate | 4.9% | 4.8% | 4.6% | 4.5% | 4.4% | 4.2% | 4.1% | 4.0% | 3.9% | 3.8% |
| Cash on Cash Return | 5.1% | 5.2% | 5.4% | 5.6% | 5.7% | 5.9% | 6.1% | 6.3% | 6.4% | 6.6% |
| Return on Equity | 10.6% | 10.4% | 10.3% | 10.2% | 10.0% | 9.9% | 9.8% | 9.7% | 9.6% | 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 | $392,189 | $415,721 | $440,664 | $467,104 | $495,130 | $524,838 | $556,328 | $589,708 | $625,090 | $662,596 |
| - Loan Balance | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| = Equity | $392,189 | $415,721 | $440,664 | $467,104 | $495,130 | $524,838 | $556,328 | $589,708 | $625,090 | $662,596 |
| 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 | $352,970 | $374,149 | $396,598 | $420,393 | $445,617 | $472,354 | $500,695 | $530,737 | $562,581 | $596,336 |
| Sale Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Equity | $392,189 | $415,721 | $440,664 | $467,104 | $495,130 | $524,838 | $556,328 | $589,708 | $625,090 | $662,596 |
| - Closing Costs | ($27,453) | ($29,100) | ($30,846) | ($32,697) | ($34,659) | ($36,739) | ($38,943) | ($41,280) | ($43,756) | ($46,382) |
| = Proceeds After Sale | $364,736 | $386,620 | $409,818 | $434,407 | $460,471 | $488,099 | $517,385 | $548,428 | $581,334 | $616,214 |
| + Cumulative Cash Flow | $19,195 | $38,966 | $59,330 | $80,305 | $101,909 | $124,162 | $147,081 | $170,689 | $195,005 | $220,050 |
| - Approximate Cash Invested | ($377,390) | ($377,390) | ($377,390) | ($377,390) | ($377,390) | ($377,390) | ($377,390) | ($377,390) | ($377,390) | ($377,390) |
| = Net Profit | $6,541 | $48,196 | $91,758 | $137,322 | $184,990 | $234,871 | $287,077 | $341,727 | $398,949 | $458,874 |
| Internal Rate of Return | 1.7% | 6.3% | 7.9% | 8.6% | 9.0% | 9.3% | 9.5% | 9.6% | 9.7% | 9.7% |
| Return on Investment | 1.7% | 12.8% | 24.3% | 36.4% | 49.0% | 62.2% | 76.1% | 90.6% | 105.7% | 121.6% |
*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.