New Construction in Huntsville Metro - Townhouse
Owens Crossroads, AL 35763
3bd • 2ba • Built: 2026
| Projected Income | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Projected Rent | $22,200 | $23,088 | $24,012 | $24,972 | $25,971 | $27,010 | $28,090 | $29,214 | $30,382 | $31,598 |
| Vacancy Losses | ($1,776) | ($1,847) | ($1,921) | ($1,998) | ($2,078) | ($2,161) | ($2,247) | ($2,337) | ($2,431) | ($2,528) |
| Operating Income | $20,424 | $21,241 | $22,091 | $22,974 | $23,893 | $24,849 | $25,843 | $26,877 | $27,952 | $29,070 |
| Estimated Expenses | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Property Taxes | ($1,784) | ($1,837) | ($1,892) | ($1,949) | ($2,007) | ($2,068) | ($2,130) | ($2,194) | ($2,259) | ($2,327) |
| Insurance | ($1,098) | ($1,131) | ($1,164) | ($1,199) | ($1,235) | ($1,272) | ($1,311) | ($1,350) | ($1,390) | ($1,432) |
| 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 | ($1,800) | ($1,854) | ($1,910) | ($1,967) | ($2,026) | ($2,087) | ($2,149) | ($2,214) | ($2,280) | ($2,349) |
| Maintenance | ($444) | ($457) | ($471) | ($485) | ($500) | ($515) | ($530) | ($546) | ($562) | ($579) |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Operating Expenses | ($5,125) | ($5,279) | ($5,437) | ($5,600) | ($5,768) | ($5,942) | ($6,120) | ($6,303) | ($6,492) | ($6,687) |
| 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 | $15,299 | $15,962 | $16,653 | $17,374 | $18,125 | $18,907 | $19,723 | $20,573 | $21,459 | $22,382 |
| - Mortgage Payments | ($12,513) | ($12,513) | ($12,513) | ($12,513) | ($12,513) | ($12,513) | ($12,513) | ($10,020) | ($10,020) | ($10,020) |
| = Cash Flow | $2,786 | $3,449 | $4,140 | $4,861 | $5,612 | $6,394 | $7,210 | $10,553 | $11,439 | $12,362 |
| + Principal Reduction | $3,320 | $3,473 | $3,632 | $3,799 | $3,973 | $4,156 | $4,347 | $8,267 | $8,350 | $8,434 |
| + Appreciation | $16,464 | $17,452 | $18,499 | $19,609 | $20,785 | $22,033 | $23,354 | $24,756 | $26,241 | $27,816 |
| = Gross Equity Income | $22,570 | $24,373 | $26,271 | $28,268 | $30,371 | $32,583 | $34,911 | $43,576 | $46,030 | $48,612 |
| Capitalization Rate | 5.3% | 5.2% | 5.1% | 5.0% | 4.9% | 4.9% | 4.8% | 4.7% | 4.6% | 4.6% |
| Cash on Cash Return | 3.8% | 4.7% | 5.6% | 6.6% | 7.6% | 8.7% | 9.8% | 14.4% | 15.6% | 16.8% |
| Return on Equity | 25.5% | 22.3% | 20.0% | 18.3% | 16.9% | 15.8% | 15.0% | 16.4% | 15.3% | 14.4% |
| Loan Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Market Value | $290,864 | $308,316 | $326,815 | $346,424 | $367,209 | $389,242 | $412,596 | $437,352 | $463,593 | $491,409 |
| - Loan Balance | ($202,480) | ($199,007) | ($195,375) | ($191,576) | ($187,603) | ($183,447) | ($179,100) | ($170,833) | ($162,483) | ($154,049) |
| = Equity | $88,384 | $109,308 | $131,439 | $154,847 | $179,606 | $205,795 | $233,496 | $266,519 | $301,110 | $337,359 |
| Loan-to-Value Ratio | 69.6% | 64.5% | 59.8% | 55.3% | 51.1% | 47.1% | 43.4% | 39.1% | 35.0% | 31.3% |
| Potential Cash-Out Refi | $30,211 | $47,645 | $66,077 | $85,563 | $106,164 | $127,946 | $150,977 | $179,048 | $208,391 | $239,077 |
| Sale Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Equity | $88,384 | $109,308 | $131,439 | $154,847 | $179,606 | $205,795 | $233,496 | $266,519 | $301,110 | $337,359 |
| - Closing Costs | ($20,360) | ($21,582) | ($22,877) | ($24,250) | ($25,705) | ($27,247) | ($28,882) | ($30,615) | ($32,452) | ($34,399) |
| = Proceeds After Sale | $68,024 | $87,726 | $108,562 | $130,598 | $153,902 | $178,548 | $204,614 | $235,904 | $268,658 | $302,961 |
| + Cumulative Cash Flow | $2,786 | $6,235 | $10,375 | $15,235 | $20,847 | $27,241 | $34,451 | $45,005 | $56,444 | $68,806 |
| - Approximate Cash Invested | ($73,402) | ($73,402) | ($73,402) | ($73,402) | ($73,402) | ($73,402) | ($73,402) | ($73,402) | ($73,402) | ($73,402) |
| = Net Profit | ($2,593) | $20,559 | $45,535 | $72,431 | $101,347 | $132,387 | $165,664 | $207,507 | $251,700 | $298,365 |
| Internal Rate of Return | -3.5% | 13.4% | 18.0% | 19.6% | 20.1% | 20.1% | 19.9% | 19.9% | 19.8% | 19.6% |
| Return on Investment | -3.5% | 28.0% | 62.0% | 98.7% | 138.1% | 180.4% | 225.7% | 282.7% | 342.9% | 406.5% |
*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.