26 padsplit
Atlanta, GA 30331
8bd • 6ba • Built: 1971 • Remodeled: 2350
| Projected Income | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Projected Rent | $88,392 | $91,044 | $93,775 | $96,588 | $99,486 | $102,471 | $105,545 | $108,711 | $111,972 | $115,332 |
| Vacancy Losses | ($8,839) | ($9,104) | ($9,378) | ($9,659) | ($9,949) | ($10,247) | ($10,554) | ($10,871) | ($11,197) | ($11,533) |
| Operating Income | $79,553 | $81,939 | $84,398 | $86,929 | $89,537 | $92,223 | $94,990 | $97,840 | $100,775 | $103,798 |
| Estimated Expenses | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Property Taxes | ($4,279) | ($4,407) | ($4,540) | ($4,676) | ($4,816) | ($4,961) | ($5,109) | ($5,263) | ($5,421) | ($5,583) |
| Insurance | ($1,945) | ($2,003) | ($2,063) | ($2,125) | ($2,189) | ($2,255) | ($2,322) | ($2,392) | ($2,464) | ($2,538) |
| Management Fees | ($12,728) | ($13,110) | ($13,504) | ($13,909) | ($14,326) | ($14,756) | ($15,198) | ($15,654) | ($16,124) | ($16,608) |
| Leasing/Advertising Fees | ($3,000) | ($3,090) | ($3,183) | ($3,278) | ($3,377) | ($3,478) | ($3,582) | ($3,690) | ($3,800) | ($3,914) |
| Association Fees | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Maintenance | ($3,978) | ($4,097) | ($4,220) | ($4,346) | ($4,477) | ($4,611) | ($4,750) | ($4,892) | ($5,039) | ($5,190) |
| Other | ($13,800) | ($14,214) | ($14,640) | ($15,080) | ($15,532) | ($15,998) | ($16,478) | ($16,972) | ($17,481) | ($18,006) |
| Operating Expenses | ($39,730) | ($40,922) | ($42,150) | ($43,414) | ($44,717) | ($46,058) | ($47,440) | ($48,863) | ($50,329) | ($51,839) |
| 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 | $39,823 | $41,017 | $42,248 | $43,515 | $44,821 | $46,165 | $47,550 | $48,977 | $50,446 | $51,960 |
| - Mortgage Payments | ($22,707) | ($22,707) | ($22,707) | ($22,707) | ($22,707) | ($22,707) | ($22,707) | ($22,707) | ($22,707) | ($22,707) |
| = Cash Flow | $17,115 | $18,310 | $19,541 | $20,808 | $22,113 | $23,458 | $24,843 | $26,270 | $27,739 | $29,252 |
| + Principal Reduction | $3,109 | $3,326 | $3,557 | $3,805 | $4,070 | $4,353 | $4,656 | $4,981 | $5,327 | $5,698 |
| + Appreciation | $23,340 | $24,740 | $26,225 | $27,798 | $29,466 | $31,234 | $33,108 | $35,095 | $37,200 | $39,432 |
| = Gross Equity Income | $43,565 | $46,376 | $49,323 | $52,411 | $55,650 | $59,046 | $62,608 | $66,345 | $70,267 | $74,383 |
| Capitalization Rate | 9.7% | 9.4% | 9.1% | 8.9% | 8.6% | 8.4% | 8.1% | 7.9% | 7.7% | 7.5% |
| Cash on Cash Return | 15.4% | 16.5% | 17.6% | 18.8% | 19.9% | 21.2% | 22.4% | 23.7% | 25.0% | 26.4% |
| Return on Equity | 35.2% | 30.6% | 27.2% | 24.6% | 22.6% | 20.9% | 19.6% | 18.4% | 17.5% | 16.6% |
| Loan Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Market Value | $412,340 | $437,080 | $463,305 | $491,104 | $520,570 | $551,804 | $584,912 | $620,007 | $657,207 | $696,640 |
| - Loan Balance | ($288,641) | ($285,315) | ($281,758) | ($277,953) | ($273,883) | ($269,529) | ($264,873) | ($259,892) | ($254,565) | ($248,866) |
| = Equity | $123,699 | $151,765 | $181,548 | $213,151 | $246,687 | $282,275 | $320,039 | $360,115 | $402,642 | $447,773 |
| Loan-to-Value Ratio | 70.0% | 65.3% | 60.8% | 56.6% | 52.6% | 48.8% | 45.3% | 41.9% | 38.7% | 35.7% |
| Potential Cash-Out Refi | $82,465 | $108,057 | $135,217 | $164,041 | $194,630 | $227,094 | $261,548 | $298,114 | $336,922 | $378,109 |
| Sale Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Equity | $123,699 | $151,765 | $181,548 | $213,151 | $246,687 | $282,275 | $320,039 | $360,115 | $402,642 | $447,773 |
| - Closing Costs | ($28,864) | ($30,596) | ($32,431) | ($34,377) | ($36,440) | ($38,626) | ($40,944) | ($43,400) | ($46,005) | ($48,765) |
| = Proceeds After Sale | $94,835 | $121,170 | $149,116 | $178,774 | $210,247 | $243,648 | $279,095 | $316,714 | $356,638 | $399,009 |
| + Cumulative Cash Flow | $17,115 | $35,425 | $54,966 | $75,774 | $97,887 | $121,345 | $146,189 | $172,458 | $200,197 | $229,449 |
| - Approximate Cash Invested | ($110,865) | ($110,865) | ($110,865) | ($110,865) | ($110,865) | ($110,865) | ($110,865) | ($110,865) | ($110,865) | ($110,865) |
| = Net Profit | $1,086 | $45,730 | $93,217 | $143,683 | $197,270 | $254,129 | $314,419 | $378,307 | $445,970 | $517,593 |
| Internal Rate of Return | 1.0% | 20.1% | 25.4% | 27.1% | 27.5% | 27.5% | 27.2% | 26.8% | 26.4% | 26.0% |
| Return on Investment | 1.0% | 41.2% | 84.1% | 129.6% | 177.9% | 229.2% | 283.6% | 341.2% | 402.3% | 466.9% |
*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.