Property Information
New Construction, PRE-LEASED until March 2025!
Jasper, AL 35501
| Income | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Gross Rent | $21,240 | $21,877 | $22,534 | $23,210 | $23,906 | $24,623 | $25,362 | $26,123 | $26,906 | $27,713 |
| Vacancy Losses | ($1,062) | ($1,094) | ($1,127) | ($1,160) | ($1,195) | ($1,231) | ($1,268) | ($1,306) | ($1,345) | ($1,386) |
| Operating Income | $20,178 | $20,783 | $21,407 | $22,049 | $22,711 | $23,392 | $24,094 | $24,816 | $25,561 | $26,328 |
| Expenses | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Property Taxes | ($2,113) | ($2,177) | ($2,242) | ($2,309) | ($2,379) | ($2,450) | ($2,523) | ($2,599) | ($2,677) | ($2,757) |
| Insurance | ($906) | ($933) | ($961) | ($990) | ($1,019) | ($1,050) | ($1,081) | ($1,114) | ($1,147) | ($1,182) |
| 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 | ($425) | ($438) | ($451) | ($464) | ($478) | ($492) | ($507) | ($522) | ($538) | ($554) |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Operating Expenses | ($3,444) | ($3,547) | ($3,654) | ($3,763) | ($3,876) | ($3,992) | ($4,112) | ($4,235) | ($4,363) | ($4,493) |
| 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 | $16,734 | $17,236 | $17,753 | $18,286 | $18,834 | $19,400 | $19,982 | $20,581 | $21,198 | $21,834 |
| - Mortgage Payments | ($12,956) | ($12,956) | ($12,956) | ($12,956) | ($12,956) | ($12,956) | ($12,956) | ($12,956) | ($12,956) | ($12,956) |
| = Cash Flow | $3,778 | $4,280 | $4,797 | $5,330 | $5,878 | $6,443 | $7,025 | $7,625 | $8,242 | $8,878 |
| + Principal Reduction | $3,994 | $4,157 | $4,326 | $4,501 | $4,684 | $4,875 | $5,073 | $5,279 | $5,493 | $5,717 |
| + Appreciation | $18,114 | $19,201 | $20,353 | $21,574 | $22,869 | $24,241 | $25,695 | $27,237 | $28,871 | $30,603 |
| = Gross Equity Income | $25,886 | $27,638 | $29,476 | $31,405 | $33,431 | $35,559 | $37,793 | $40,140 | $42,607 | $45,198 |
| Capitalization Rate | 5.2% | 5.1% | 4.9% | 4.8% | 4.7% | 4.5% | 4.4% | 4.3% | 4.2% | 4.0% |
| Cash on Cash Return | 4.3% | 4.9% | 5.5% | 6.1% | 6.7% | 7.4% | 8.0% | 8.7% | 9.4% | 10.1% |
| Return on Equity | 26.5% | 22.9% | 20.2% | 18.3% | 16.8% | 15.6% | 14.6% | 13.8% | 13.1% | 12.5% |
| Loan Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Market Value | $320,014 | $339,215 | $359,568 | $381,142 | $404,010 | $428,251 | $453,946 | $481,183 | $510,054 | $540,657 |
| - Loan Balance | ($222,431) | ($218,274) | ($213,948) | ($209,447) | ($204,763) | ($199,888) | ($194,816) | ($189,537) | ($184,043) | ($178,327) |
| = Equity | $97,583 | $120,941 | $145,619 | $171,695 | $199,247 | $228,363 | $259,130 | $291,646 | $326,010 | $362,330 |
| Loan-to-Value Ratio | 69.5% | 64.3% | 59.5% | 55.0% | 50.7% | 46.7% | 42.9% | 39.4% | 36.1% | 33.0% |
| Potential Cash-Out Refi | $65,582 | $87,019 | $109,662 | $133,580 | $158,846 | $185,538 | $213,736 | $243,528 | $275,005 | $308,265 |
| Sale Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Equity | $97,583 | $120,941 | $145,619 | $171,695 | $199,247 | $228,363 | $259,130 | $291,646 | $326,010 | $362,330 |
| - Closing Costs | ($22,401) | ($23,745) | ($25,170) | ($26,680) | ($28,281) | ($29,978) | ($31,776) | ($33,683) | ($35,704) | ($37,846) |
| = Proceeds After Sale | $75,182 | $97,196 | $120,450 | $145,015 | $170,967 | $198,385 | $227,354 | $257,963 | $290,307 | $324,484 |
| + Cumulative Cash Flow | $3,778 | $8,058 | $12,855 | $18,185 | $24,063 | $30,507 | $37,532 | $45,157 | $53,399 | $62,277 |
| - Initial Cash Invested | ($87,551) | ($87,551) | ($87,551) | ($87,551) | ($87,551) | ($87,551) | ($87,551) | ($87,551) | ($87,551) | ($87,551) |
| = Net Profit | ($8,591) | $17,703 | $45,754 | $75,649 | $107,479 | $141,341 | $177,335 | $215,569 | $256,155 | $299,211 |
| Internal Rate of Return | -9.8% | 9.8% | 15.6% | 17.7% | 18.5% | 18.7% | 18.6% | 18.4% | 18.2% | 17.9% |
| Return on Investment | -9.8% | 20.2% | 52.3% | 86.4% | 122.8% | 161.4% | 202.6% | 246.2% | 292.6% | 341.8% |
*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.
