Nice Area!
Phoenix, 85022
3bd • 2ba • Built: 1960
| Projected Income | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Projected 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 | ($1,107) | ($1,140) | ($1,174) | ($1,210) | ($1,246) | ($1,283) | ($1,322) | ($1,361) | ($1,402) | ($1,444) |
| Insurance | ($738) | ($760) | ($783) | ($806) | ($831) | ($856) | ($881) | ($908) | ($935) | ($963) |
| 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 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Maintenance | ($2,016) | ($2,076) | ($2,139) | ($2,203) | ($2,269) | ($2,337) | ($2,407) | ($2,479) | ($2,554) | ($2,630) |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Operating Expenses | ($5,716) | ($5,887) | ($6,064) | ($6,246) | ($6,433) | ($6,626) | ($6,825) | ($7,030) | ($7,241) | ($7,458) |
| 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 | $17,468 | $17,992 | $18,532 | $19,088 | $19,661 | $20,251 | $20,858 | $21,484 | $22,128 | $22,792 |
| - Mortgage Payments | ($16,790) | ($16,790) | ($16,790) | ($16,790) | ($16,790) | ($16,790) | ($16,790) | ($16,790) | ($16,790) | ($16,790) |
| = Cash Flow | $679 | $1,203 | $1,743 | $2,299 | $2,871 | $3,461 | $4,068 | $4,694 | $5,339 | $6,003 |
| + Principal Reduction | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| + Appreciation | $22,140 | $23,468 | $24,877 | $26,369 | $27,951 | $29,628 | $31,406 | $33,290 | $35,288 | $37,405 |
| = Gross Equity Income | $22,819 | $24,671 | $26,619 | $28,668 | $30,822 | $33,089 | $35,474 | $37,985 | $40,627 | $43,408 |
| Capitalization Rate | 4.5% | 4.3% | 4.2% | 4.1% | 4.0% | 3.9% | 3.8% | 3.7% | 3.5% | 3.4% |
| Cash on Cash Return | 0.5% | 0.9% | 1.4% | 1.8% | 2.3% | 2.7% | 3.2% | 3.7% | 4.2% | 4.7% |
| Return on Equity | 17.2% | 15.8% | 14.7% | 13.8% | 13.1% | 12.5% | 12.0% | 11.5% | 11.1% | 10.8% |
| Loan Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Market Value | $391,140 | $414,608 | $439,485 | $465,854 | $493,805 | $523,434 | $554,840 | $588,130 | $623,418 | $660,823 |
| - Loan Balance | ($258,300) | ($258,300) | ($258,300) | ($258,300) | ($258,300) | ($258,300) | ($258,300) | ($258,300) | ($258,300) | ($258,300) |
| = Equity | $132,840 | $156,308 | $181,185 | $207,554 | $235,505 | $265,134 | $296,540 | $329,830 | $365,118 | $402,523 |
| Loan-to-Value Ratio | 66.0% | 62.3% | 58.8% | 55.4% | 52.3% | 49.3% | 46.6% | 43.9% | 41.4% | 39.1% |
| Potential Cash-Out Refi | $93,726 | $114,848 | $137,236 | $160,969 | $186,125 | $212,790 | $241,056 | $271,017 | $302,776 | $336,441 |
| Sale Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Equity | $132,840 | $156,308 | $181,185 | $207,554 | $235,505 | $265,134 | $296,540 | $329,830 | $365,118 | $402,523 |
| - Closing Costs | ($27,380) | ($29,023) | ($30,764) | ($32,610) | ($34,566) | ($36,640) | ($38,839) | ($41,169) | ($43,639) | ($46,258) |
| = Proceeds After Sale | $105,460 | $127,286 | $150,421 | $174,944 | $200,939 | $228,493 | $257,701 | $288,661 | $321,478 | $356,265 |
| + Cumulative Cash Flow | $679 | $1,881 | $3,624 | $5,923 | $8,794 | $12,255 | $16,323 | $21,017 | $26,356 | $32,359 |
| - Approximate Cash Invested | ($126,936) | ($126,936) | ($126,936) | ($126,936) | ($126,936) | ($126,936) | ($126,936) | ($126,936) | ($126,936) | ($126,936) |
| = Net Profit | ($20,797) | $2,231 | $27,109 | $53,931 | $82,797 | $113,812 | $147,088 | $182,742 | $220,899 | $261,688 |
| Internal Rate of Return | -16.4% | 0.9% | 6.7% | 9.3% | 10.7% | 11.5% | 11.9% | 12.1% | 12.2% | 12.3% |
| Return on Investment | -16.4% | 1.8% | 21.4% | 42.5% | 65.2% | 89.7% | 115.9% | 144.0% | 174.0% | 206.2% |
*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.