Turnkey 8 plex
Mishawaka, IN 46544
15bd • 11ba • Built: 1912 • Remodeled: 2024
| Projected Income | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Projected Rent | $109,200 | $112,476 | $115,850 | $119,326 | $122,906 | $126,593 | $130,391 | $134,302 | $138,331 | $142,481 |
| Vacancy Losses | ($8,736) | ($8,998) | ($9,268) | ($9,546) | ($9,832) | ($10,127) | ($10,431) | ($10,744) | ($11,067) | ($11,398) |
| Operating Income | $100,464 | $103,478 | $106,582 | $109,780 | $113,073 | $116,465 | $119,959 | $123,558 | $127,265 | $131,083 |
| Estimated Expenses | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Property Taxes | ($5,500) | ($5,665) | ($5,835) | ($6,010) | ($6,190) | ($6,376) | ($6,567) | ($6,764) | ($6,967) | ($7,176) |
| Insurance | ($4,400) | ($4,532) | ($4,668) | ($4,808) | ($4,952) | ($5,101) | ($5,254) | ($5,411) | ($5,574) | ($5,741) |
| Management Fees | ($8,037) | ($8,278) | ($8,527) | ($8,782) | ($9,046) | ($9,317) | ($9,597) | ($9,885) | ($10,181) | ($10,487) |
| 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 | ($5,460) | ($5,624) | ($5,793) | ($5,966) | ($6,145) | ($6,330) | ($6,520) | ($6,715) | ($6,917) | ($7,124) |
| Other | ($1,092) | ($1,125) | ($1,159) | ($1,193) | ($1,229) | ($1,266) | ($1,304) | ($1,343) | ($1,383) | ($1,425) |
| Operating Expenses | ($24,489) | ($25,224) | ($25,981) | ($26,760) | ($27,563) | ($28,390) | ($29,241) | ($30,119) | ($31,022) | ($31,953) |
| 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 | $75,975 | $78,254 | $80,602 | $83,020 | $85,510 | $88,076 | $90,718 | $93,440 | $96,243 | $99,130 |
| - Mortgage Payments | ($61,875) | ($61,875) | ($61,875) | ($61,875) | ($61,875) | ($61,875) | ($61,875) | ($61,875) | ($61,875) | ($61,875) |
| = Cash Flow | $14,100 | $16,379 | $18,727 | $21,145 | $23,635 | $26,201 | $28,843 | $31,565 | $34,368 | $37,255 |
| + Principal Reduction | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| + Appreciation | $55,000 | $57,750 | $60,638 | $63,669 | $66,853 | $70,195 | $73,705 | $77,391 | $81,260 | $85,323 |
| = Gross Equity Income | $69,100 | $74,129 | $79,364 | $84,814 | $90,488 | $96,396 | $102,548 | $108,955 | $115,628 | $122,578 |
| Capitalization Rate | 6.6% | 6.5% | 6.3% | 6.2% | 6.1% | 6.0% | 5.9% | 5.7% | 5.6% | 5.5% |
| Cash on Cash Return | 4.7% | 5.5% | 6.3% | 7.1% | 8.0% | 8.8% | 9.7% | 10.6% | 11.6% | 12.5% |
| Return on Equity | 20.9% | 19.1% | 17.7% | 16.6% | 15.6% | 14.9% | 14.2% | 13.6% | 13.1% | 12.7% |
| Loan Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Market Value | $1,155,000 | $1,212,750 | $1,273,388 | $1,337,057 | $1,403,910 | $1,474,105 | $1,547,810 | $1,625,201 | $1,706,461 | $1,791,784 |
| - Loan Balance | ($825,000) | ($825,000) | ($825,000) | ($825,000) | ($825,000) | ($825,000) | ($825,000) | ($825,000) | ($825,000) | ($825,000) |
| = Equity | $330,000 | $387,750 | $448,388 | $512,057 | $578,910 | $649,105 | $722,810 | $800,201 | $881,461 | $966,784 |
| Loan-to-Value Ratio | 71.4% | 68.0% | 64.8% | 61.7% | 58.8% | 56.0% | 53.3% | 50.8% | 48.3% | 46.0% |
| Potential Cash-Out Refi | $214,500 | $266,475 | $321,049 | $378,351 | $438,519 | $501,695 | $568,029 | $637,681 | $710,815 | $787,606 |
| Sale Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Equity | $330,000 | $387,750 | $448,388 | $512,057 | $578,910 | $649,105 | $722,810 | $800,201 | $881,461 | $966,784 |
| - Closing Costs | ($80,850) | ($84,893) | ($89,137) | ($93,594) | ($98,274) | ($103,187) | ($108,347) | ($113,764) | ($119,452) | ($125,425) |
| = Proceeds After Sale | $249,150 | $302,858 | $359,250 | $418,463 | $480,636 | $545,918 | $614,464 | $686,437 | $762,009 | $841,359 |
| + Cumulative Cash Flow | $14,100 | $30,479 | $49,206 | $70,351 | $93,986 | $120,187 | $149,030 | $180,594 | $214,962 | $252,217 |
| - Approximate Cash Invested | ($297,000) | ($297,000) | ($297,000) | ($297,000) | ($297,000) | ($297,000) | ($297,000) | ($297,000) | ($297,000) | ($297,000) |
| = Net Profit | ($33,750) | $36,337 | $111,456 | $191,813 | $277,622 | $369,105 | $466,493 | $570,031 | $679,971 | $796,576 |
| Internal Rate of Return | -11.4% | 6.1% | 11.7% | 14.1% | 15.2% | 15.8% | 16.0% | 16.1% | 16.1% | 16.0% |
| Return on Investment | -11.4% | 12.2% | 37.5% | 64.6% | 93.5% | 124.3% | 157.1% | 191.9% | 228.9% | 268.2% |
*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.