Montgomery Deal Analysis
Let's look at deal analysis for Montgomery, AL and for 
15 Buy 10 Nomads™ with 10% Higher Rents.
The analysis is based on The World's Greatest Real Estate Deal Analysis Spreadsheet™ (shown above)... a free spreadsheet download you can use to analyze your own deals.
Typical Montgomery, Alabama Nomad™ Property with 10% Higher Rents
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Typical Montgomery, Alabama Nomad™ Property with 10% Higher Rents
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Purchase Inputs
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|
|
Percents
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Dollars/#
|
|
ARV
|
|
$114,489
|
|
Purchase Price
|
|
$114,489
|
|
Seller Concessions
|
—
|
$0
|
|
Down Payment
|
5.000%
|
$5,724
|
|
Closing Costs
|
1.000%
|
$1,145
|
|
Rent Ready Costs
|
|
$0
|
|
Cumulative Negative Cash Flow
|
|
$0
|
|
Total Invested
|
|
$6,869
|
|
Mortgage
|
|
Mortgage Amount
|
|
$108,764.55
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|
Mortgage Interest Rate
|
6.500%
|
|
|
Loan Term
|
|
360
|
|
Private Mortgage Insurance
|
0.850%
|
$77.04
|
|
Drop PMI LTV
|
80.000%
|
|
|
Income
|
|
Monthly Rent
|
|
$1,380
$1380.23
|
|
Other Income
|
|
$0
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|
Annual Expenses
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|
Vacancy Rate
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3.000%
|
$497
|
|
Property Taxes
|
0.417%
|
$477
|
|
Property Insurance
|
1.958%
|
$2,242
|
|
HOA Dues
|
|
$0
|
|
Utilities
|
|
$0
|
|
Other Expenses 1
|
|
$0
|
|
Other Expenses 2
|
|
$0
|
|
Maintenance
|
10.000%
|
|
|
CapEx
|
|
$0
|
|
Management
|
0.000%
|
|
|
Depreciation Details
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|
Land Value
|
15.000%
|
$17,173
|
|
Property Type (C or R)
|
R
|
27.5
|
|
Effective Income Tax Rate
|
15.000%
|
|
| Property Value |
1 |
2 |
3 |
4 |
5 |
| ARV at End of Year |
$117,924 |
$121,461 |
$125,105 |
$128,858 |
$132,724 |
| Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Appreciation Dollar |
$3,435 |
$3,538 |
$3,644 |
$3,753 |
$3,866 |
| Monthly Income |
1 |
2 |
3 |
4 |
5 |
| Rent Appreciation Rate |
|
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Rent |
$1,380 |
$1,422 |
$1,464 |
$1,508 |
$1,553 |
| Monthly Other Income Appreciation Rate |
|
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Monthly Gross Potential Income |
$1,380 |
$1,422 |
$1,464 |
$1,508 |
$1,553 |
| Vacancy Percent |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Vacancy Dollar |
$41 |
$43 |
$44 |
$45 |
$47 |
| Monthly Gross Operating Income |
$1,339 |
$1,379 |
$1,420 |
$1,463 |
$1,507 |
| Annual Income |
1 |
2 |
3 |
4 |
5 |
| Annual Rent |
$16,563 |
$17,060 |
$17,571 |
$18,099 |
$18,642 |
| Annual Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Gross Potential Income |
$16,563 |
$17,060 |
$17,571 |
$18,099 |
$18,642 |
| Annual Vacancy Dollar |
$497 |
$512 |
$527 |
$543 |
$559 |
| Annual Gross Operating Income |
$16,066 |
$16,548 |
$17,044 |
$17,556 |
$18,082 |
| Annual Expenses |
1 |
2 |
3 |
4 |
5 |
| Property Taxes Percent |
0.417% |
0.417% |
0.417% |
0.417% |
0.417% |
| Property Taxes Dollar |
$477 |
$492 |
$506 |
$522 |
$537 |
| Insurance Percent |
1.958% |
1.958% |
1.958% |
1.958% |
1.958% |
| Insurance Dollar |
$2,242 |
$2,309 |
$2,378 |
$2,450 |
$2,523 |
| HOA Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| HOA Dues Dollar |
$0 |
$0 |
$0 |
$0 |
$0 |
| Utilities Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Utilities Dollar |
$0 |
$0 |
$0 |
$0 |
$0 |
| Other Expense 1 Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Other Expense 1 Dollar |
$0 |
$0 |
$0 |
$0 |
$0 |
| Other Expense 2 Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Other Expense 2 Dollar |
$0 |
$0 |
$0 |
$0 |
$0 |
| Maintenance Percent |
10.000% |
10.000% |
10.000% |
10.000% |
10.000% |
| Maintenance Dollar |
$1,607 |
$1,655 |
$1,704 |
$1,756 |
$1,808 |
| CapEx Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| CapEx Dollar |
$0 |
$0 |
$0 |
$0 |
$0 |
| Property Management Percent |
0.000% |
0.000% |
0.000% |
0.000% |
0.000% |
| Property Management Dollar |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Operating Expenses |
$4,326 |
$4,455 |
$4,589 |
$4,727 |
$4,869 |
| Net Operating Income |
1 |
2 |
3 |
4 |
5 |
| Net Operating Income (NOI) |
$11,740 |
$12,092 |
$12,455 |
$12,829 |
$13,214 |
| Mortgage |
1 |
2 |
3 |
4 |
5 |
| Total Annual P&I Payments |
$8,250 |
$8,250 |
$8,250 |
$8,250 |
$8,250 |
| Principal |
$1,216 |
$1,297 |
$1,384 |
$1,477 |
$1,576 |
| Interest |
$7,034 |
$6,952 |
$6,866 |
$6,773 |
$6,674 |
| Loan Balance at End of Year |
$107,549 |
$106,252 |
$104,868 |
$103,391 |
$101,815 |
| Loan-To-Value |
91.202% |
87.478% |
83.824% |
80.236% |
76.712% |
| Private Mortgage Insurance (PMI) Rate |
0.850% |
0.850% |
0.850% |
0.850% |
|
| Private Mortgage Insurance Dollar |
$924 |
$924 |
$924 |
$924 |
$0 |
| Equity |
1 |
2 |
3 |
4 |
5 |
| ARV - Loan Balance at End of Year |
$10,375 |
$15,210 |
$20,238 |
$25,467 |
$30,909 |
| Cash Flow |
1 |
2 |
3 |
4 |
5 |
| Annual Cash Flow |
$2,566 |
$2,918 |
$3,281 |
$3,655 |
$4,964 |
| Monhtly Cash Flow |
$214 |
$243 |
$273 |
$305 |
$414 |
| Cash on Cash Return on Investment |
0.374% |
0.425% |
0.478% |
0.532% |
0.723% |
| Cap Rate |
|
|
|
|
|
| DSCR |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
| Negative Cash Flow |
$0 |
$0 |
$0 |
$0 |
$0 |
| Cumulative Negative Cash Flow |
$0 |
$0 |
$0 |
$0 |
$0 |