Free PM for 1 Year!
Memphis, TN 38109
3bd • 1ba • Built: 1961
| Projected Income | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Projected Rent | $13,140 | $13,534 | $13,940 | $14,358 | $14,789 | $15,233 | $15,690 | $16,161 | $16,645 | $17,145 |
| Vacancy Losses | ($1,051) | ($1,083) | ($1,115) | ($1,149) | ($1,183) | ($1,219) | ($1,255) | ($1,293) | ($1,332) | ($1,372) |
| Operating Income | $12,089 | $12,451 | $12,825 | $13,210 | $13,606 | $14,014 | $14,435 | $14,868 | $15,314 | $15,773 |
| Estimated Expenses | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Property Taxes | ($804) | ($828) | ($853) | ($879) | ($905) | ($932) | ($960) | ($989) | ($1,019) | ($1,049) |
| Insurance | ($689) | ($710) | ($731) | ($753) | ($776) | ($799) | ($823) | ($848) | ($873) | ($900) |
| 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 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Maintenance | ($1,051) | ($1,083) | ($1,115) | ($1,149) | ($1,183) | ($1,219) | ($1,255) | ($1,293) | ($1,332) | ($1,372) |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Operating Expenses | ($2,545) | ($2,621) | ($2,700) | ($2,781) | ($2,864) | ($2,950) | ($3,039) | ($3,130) | ($3,224) | ($3,321) |
| 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 | $9,544 | $9,830 | $10,125 | $10,429 | $10,742 | $11,064 | $11,396 | $11,738 | $12,090 | $12,453 |
| - Mortgage Payments | ($6,200) | ($6,200) | ($6,200) | ($6,200) | ($6,200) | ($6,200) | ($6,200) | ($6,200) | ($6,200) | ($6,200) |
| = Cash Flow | $3,344 | $3,630 | $3,925 | $4,229 | $4,542 | $4,864 | $5,196 | $5,538 | $5,890 | $6,253 |
| + Principal Reduction | $1,058 | $1,123 | $1,193 | $1,266 | $1,344 | $1,427 | $1,515 | $1,609 | $1,708 | $1,813 |
| + Appreciation | $6,894 | $7,308 | $7,746 | $8,211 | $8,704 | $9,226 | $9,779 | $10,366 | $10,988 | $11,647 |
| = Gross Equity Income | $11,296 | $12,061 | $12,864 | $13,706 | $14,590 | $15,517 | $16,491 | $17,513 | $18,586 | $19,713 |
| Capitalization Rate | 7.8% | 7.6% | 7.4% | 7.2% | 7.0% | 6.8% | 6.6% | 6.4% | 6.2% | 6.1% |
| Cash on Cash Return | 10.0% | 10.9% | 11.8% | 12.7% | 13.6% | 14.6% | 15.6% | 16.6% | 17.7% | 18.8% |
| Return on Equity | 30.8% | 26.7% | 23.8% | 21.6% | 19.8% | 18.4% | 17.3% | 16.3% | 15.5% | 14.7% |
| Loan Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Market Value | $121,794 | $129,102 | $136,848 | $145,059 | $153,762 | $162,988 | $172,767 | $183,133 | $194,121 | $205,768 |
| - Loan Balance | ($85,117) | ($83,993) | ($82,801) | ($81,534) | ($80,190) | ($78,762) | ($77,247) | ($75,638) | ($73,930) | ($72,117) |
| = Equity | $36,677 | $45,108 | $54,047 | $63,524 | $73,572 | $84,225 | $95,520 | $107,495 | $120,191 | $133,652 |
| Loan-to-Value Ratio | 69.9% | 65.1% | 60.5% | 56.2% | 52.2% | 48.3% | 44.7% | 41.3% | 38.1% | 35.0% |
| Potential Cash-Out Refi | $24,498 | $32,198 | $40,362 | $49,019 | $58,196 | $67,927 | $78,243 | $89,182 | $100,779 | $113,075 |
| Sale Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Equity | $36,677 | $45,108 | $54,047 | $63,524 | $73,572 | $84,225 | $95,520 | $107,495 | $120,191 | $133,652 |
| - Closing Costs | ($8,526) | ($9,037) | ($9,579) | ($10,154) | ($10,763) | ($11,409) | ($12,094) | ($12,819) | ($13,588) | ($14,404) |
| = Proceeds After Sale | $28,152 | $36,071 | $44,468 | $53,370 | $62,809 | $72,816 | $83,426 | $94,676 | $106,603 | $119,248 |
| + Cumulative Cash Flow | $3,344 | $6,974 | $10,899 | $15,128 | $19,670 | $24,534 | $29,730 | $35,268 | $41,158 | $47,411 |
| - Approximate Cash Invested | ($33,321) | ($33,321) | ($33,321) | ($33,321) | ($33,321) | ($33,321) | ($33,321) | ($33,321) | ($33,321) | ($33,321) |
| = Net Profit | ($1,825) | $9,724 | $22,046 | $35,178 | $49,158 | $64,030 | $79,836 | $96,623 | $114,440 | $133,338 |
| Internal Rate of Return | -5.5% | 14.3% | 20.0% | 22.0% | 22.7% | 22.9% | 22.7% | 22.5% | 22.2% | 21.8% |
| Return on Investment | -5.5% | 29.2% | 66.2% | 105.6% | 147.5% | 192.2% | 239.6% | 290.0% | 343.4% | 400.2% |
*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.