New Construction in Huntsville Metro
Madison, AL 35757
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 | $24,000 | $24,960 | $25,958 | $26,997 | $28,077 | $29,200 | $30,368 | $31,582 | $32,846 | $34,159 |
| Vacancy Losses | ($1,920) | ($1,997) | ($2,077) | ($2,160) | ($2,246) | ($2,336) | ($2,429) | ($2,527) | ($2,628) | ($2,733) |
| Operating Income | $22,080 | $22,963 | $23,882 | $24,837 | $25,830 | $26,864 | $27,938 | $29,056 | $30,218 | $31,427 |
| Estimated Expenses | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Property Taxes | ($2,346) | ($2,416) | ($2,489) | ($2,563) | ($2,640) | ($2,719) | ($2,801) | ($2,885) | ($2,972) | ($3,061) |
| Insurance | ($1,444) | ($1,487) | ($1,532) | ($1,577) | ($1,625) | ($1,674) | ($1,724) | ($1,775) | ($1,829) | ($1,884) |
| 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 | ($648) | ($667) | ($687) | ($708) | ($729) | ($751) | ($774) | ($797) | ($821) | ($845) |
| Maintenance | ($480) | ($494) | ($509) | ($525) | ($540) | ($556) | ($573) | ($590) | ($608) | ($626) |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Operating Expenses | ($4,917) | ($5,065) | ($5,217) | ($5,373) | ($5,535) | ($5,701) | ($5,872) | ($6,048) | ($6,229) | ($6,416) |
| 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 | $17,163 | $17,898 | $18,665 | $19,464 | $20,296 | $21,163 | $22,067 | $23,008 | $23,989 | $25,011 |
| - Mortgage Payments | ($16,458) | ($16,458) | ($16,458) | ($16,458) | ($16,458) | ($16,458) | ($16,458) | ($13,179) | ($13,179) | ($13,179) |
| = Cash Flow | $705 | $1,441 | $2,207 | $3,006 | $3,838 | $4,705 | $5,609 | $9,829 | $10,810 | $11,832 |
| + Principal Reduction | $4,367 | $4,567 | $4,777 | $4,996 | $5,226 | $5,466 | $5,717 | $10,873 | $10,982 | $11,092 |
| + Appreciation | $21,654 | $22,953 | $24,330 | $25,790 | $27,338 | $28,978 | $30,717 | $32,560 | $34,513 | $36,584 |
| = Gross Equity Income | $26,726 | $28,961 | $31,315 | $33,793 | $36,402 | $39,149 | $42,043 | $53,262 | $56,305 | $59,508 |
| Capitalization Rate | 4.5% | 4.4% | 4.3% | 4.3% | 4.2% | 4.1% | 4.1% | 4.0% | 3.9% | 3.9% |
| Cash on Cash Return | 0.7% | 1.4% | 2.1% | 2.9% | 3.7% | 4.5% | 5.4% | 9.5% | 10.4% | 11.4% |
| Return on Equity | 23.0% | 20.1% | 18.1% | 16.6% | 15.4% | 14.5% | 13.7% | 15.2% | 14.2% | 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 | $382,554 | $405,507 | $429,838 | $455,628 | $482,966 | $511,944 | $542,660 | $575,220 | $609,733 | $646,317 |
| - Loan Balance | ($266,308) | ($261,741) | ($256,964) | ($251,968) | ($246,742) | ($241,276) | ($235,558) | ($224,686) | ($213,704) | ($202,612) |
| = Equity | $116,246 | $143,766 | $172,873 | $203,660 | $236,224 | $270,668 | $307,102 | $350,534 | $396,029 | $443,705 |
| 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 | $39,735 | $62,665 | $86,906 | $112,535 | $139,631 | $168,279 | $198,570 | $235,490 | $274,083 | $314,442 |
| Sale Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Equity | $116,246 | $143,766 | $172,873 | $203,660 | $236,224 | $270,668 | $307,102 | $350,534 | $396,029 | $443,705 |
| - Closing Costs | ($26,779) | ($28,386) | ($30,089) | ($31,894) | ($33,808) | ($35,836) | ($37,986) | ($40,265) | ($42,681) | ($45,242) |
| = Proceeds After Sale | $89,467 | $115,381 | $142,785 | $171,766 | $202,416 | $234,832 | $269,116 | $310,269 | $353,348 | $398,463 |
| + Cumulative Cash Flow | $705 | $2,145 | $4,353 | $7,359 | $11,197 | $15,902 | $21,511 | $31,340 | $42,151 | $53,983 |
| - Approximate Cash Invested | ($103,541) | ($103,541) | ($103,541) | ($103,541) | ($103,541) | ($103,541) | ($103,541) | ($103,541) | ($103,541) | ($103,541) |
| = Net Profit | ($13,369) | $13,985 | $43,597 | $75,584 | $110,072 | $147,193 | $187,086 | $238,068 | $291,958 | $348,905 |
| Internal Rate of Return | -12.9% | 6.6% | 12.5% | 14.9% | 15.9% | 16.3% | 16.4% | 16.7% | 16.7% | 16.7% |
| Return on Investment | -12.9% | 13.5% | 42.1% | 73.0% | 106.3% | 142.2% | 180.7% | 229.9% | 282.0% | 337.0% |
*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.