New Construction w/ 6% Seller Concession
Gardendale, AL 35117
5bd • 3ba • 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 | $29,940 | $30,838 | $31,763 | $32,716 | $33,698 | $34,709 | $35,750 | $36,822 | $37,927 | $39,065 |
| Vacancy Losses | ($2,395) | ($2,467) | ($2,541) | ($2,617) | ($2,696) | ($2,777) | ($2,860) | ($2,946) | ($3,034) | ($3,125) |
| Operating Income | $27,545 | $28,371 | $29,222 | $30,099 | $31,002 | $31,932 | $32,890 | $33,877 | $34,893 | $35,940 |
| Estimated Expenses | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Property Taxes | ($2,554) | ($2,631) | ($2,710) | ($2,791) | ($2,875) | ($2,961) | ($3,050) | ($3,141) | ($3,236) | ($3,333) |
| Insurance | ($1,095) | ($1,128) | ($1,161) | ($1,196) | ($1,232) | ($1,269) | ($1,307) | ($1,346) | ($1,387) | ($1,428) |
| 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 | ($390) | ($402) | ($414) | ($426) | ($439) | ($452) | ($466) | ($480) | ($494) | ($509) |
| Maintenance | ($599) | ($617) | ($635) | ($654) | ($674) | ($694) | ($715) | ($736) | ($759) | ($781) |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Operating Expenses | ($4,638) | ($4,777) | ($4,920) | ($5,068) | ($5,220) | ($5,376) | ($5,538) | ($5,704) | ($5,875) | ($6,051) |
| 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 | $22,907 | $23,594 | $24,302 | $25,031 | $25,782 | $26,555 | $27,352 | $28,173 | $29,018 | $29,888 |
| - Mortgage Payments | ($16,078) | ($16,078) | ($16,078) | ($16,078) | ($16,078) | ($16,078) | ($16,078) | ($16,078) | ($16,078) | ($16,078) |
| = Cash Flow | $6,829 | $7,516 | $8,224 | $8,953 | $9,704 | $10,477 | $11,274 | $12,094 | $12,939 | $13,810 |
| + Principal Reduction | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| + Appreciation | $21,894 | $23,208 | $24,600 | $26,076 | $27,641 | $29,299 | $31,057 | $32,920 | $34,896 | $36,989 |
| = Gross Equity Income | $28,723 | $30,723 | $32,824 | $35,029 | $37,344 | $39,776 | $42,331 | $45,015 | $47,835 | $50,799 |
| Capitalization Rate | 5.9% | 5.8% | 5.6% | 5.4% | 5.3% | 5.1% | 5.0% | 4.8% | 4.7% | 4.6% |
| Cash on Cash Return | 6.9% | 7.6% | 8.3% | 9.1% | 9.8% | 10.6% | 11.4% | 12.3% | 13.1% | 14.0% |
| Return on Equity | 25.4% | 22.5% | 20.4% | 18.7% | 17.4% | 16.3% | 15.4% | 14.6% | 14.0% | 13.4% |
| Loan Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Market Value | $386,794 | $410,002 | $434,602 | $460,678 | $488,319 | $517,618 | $548,675 | $581,595 | $616,491 | $653,480 |
| - Loan Balance | ($273,675) | ($273,675) | ($273,675) | ($273,675) | ($273,675) | ($273,675) | ($273,675) | ($273,675) | ($273,675) | ($273,675) |
| = Equity | $113,119 | $136,327 | $160,927 | $187,003 | $214,644 | $243,943 | $275,000 | $307,920 | $342,816 | $379,805 |
| Loan-to-Value Ratio | 70.8% | 66.7% | 63.0% | 59.4% | 56.0% | 52.9% | 49.9% | 47.1% | 44.4% | 41.9% |
| Potential Cash-Out Refi | $74,440 | $95,326 | $117,467 | $140,935 | $165,812 | $192,181 | $220,132 | $249,761 | $281,167 | $314,457 |
| Sale Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Equity | $113,119 | $136,327 | $160,927 | $187,003 | $214,644 | $243,943 | $275,000 | $307,920 | $342,816 | $379,805 |
| - Closing Costs | ($27,076) | ($28,700) | ($30,422) | ($32,247) | ($34,182) | ($36,233) | ($38,407) | ($40,712) | ($43,154) | ($45,744) |
| = Proceeds After Sale | $86,043 | $107,627 | $130,505 | $154,755 | $180,461 | $207,709 | $236,592 | $267,209 | $299,662 | $334,062 |
| + Cumulative Cash Flow | $6,829 | $14,344 | $22,568 | $31,521 | $41,224 | $51,701 | $62,975 | $75,069 | $88,009 | $101,819 |
| - Approximate Cash Invested | ($98,523) | ($98,523) | ($98,523) | ($98,523) | ($98,523) | ($98,523) | ($98,523) | ($98,523) | ($98,523) | ($98,523) |
| = Net Profit | ($5,651) | $23,448 | $54,550 | $87,753 | $123,162 | $160,888 | $201,044 | $243,755 | $289,147 | $337,357 |
| Internal Rate of Return | -5.7% | 11.6% | 16.8% | 18.7% | 19.4% | 19.6% | 19.6% | 19.4% | 19.2% | 19.0% |
| Return on Investment | -5.7% | 23.8% | 55.4% | 89.1% | 125.0% | 163.3% | 204.1% | 247.4% | 293.5% | 342.4% |
*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.