Mesa Deal Analysis

Let's look at deal analysis for Mesa, AZ 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 Mesa, Arizona Nomad™ Property with 10% Higher Rents

Typical Mesa, Arizona Nomad™ Property with 10% Higher Rents
Purchase Inputs
	Percents	Dollars/#
ARV		$387,360
Purchase Price		$387,360
Seller Concessions	—	$0
Down Payment	5.000%	$19,368
Closing Costs	1.000%	$3,874
Rent Ready Costs		$0
Cumulative Negative Cash Flow		$26,077
Total Invested		$49,319
Mortgage
Mortgage Amount		$367,992
Mortgage Interest Rate	6.500%
Loan Term		360
Private Mortgage Insurance	0.850%	$260.66
Drop PMI LTV	80.000%
Income
Monthly Rent		$2,655 $2655.35
Other Income		$0
Annual Expenses
Vacancy Rate	3.000%	$956
Property Taxes	0.623%	$2,413
Property Insurance	0.442%	$1,712
HOA Dues		$0
Utilities		$0
Other Expenses 1		$0
Other Expenses 2		$0
Maintenance	10.000%
CapEx		$0
Management	0.000%
Depreciation Details
Land Value	15.000%	$58,104
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	$398,981	$410,950	$423,279	$435,977	$449,056
Appreciation Rate	3.000%	3.000%	3.000%	3.000%	3.000%
Appreciation Dollar	$11,621	$11,969	$12,329	$12,698	$13,079
Monthly Income	1	2	3	4	5
Rent Appreciation Rate		3.000%	3.000%	3.000%	3.000%
Monthly Rent	$2,655	$2,735	$2,817	$2,902	$2,989
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	$2,655	$2,735	$2,817	$2,902	$2,989
Vacancy Percent	3.000%	3.000%	3.000%	3.000%	3.000%
Monthly Vacancy Dollar	$80	$82	$85	$87	$90
Monthly Gross Operating Income	$2,576	$2,653	$2,733	$2,815	$2,899
Annual Income	1	2	3	4	5
Annual Rent	$31,864	$32,820	$33,805	$34,819	$35,863
Annual Other Income	$0	$0	$0	$0	$0
Annual Gross Potential Income	$31,864	$32,820	$33,805	$34,819	$35,863
Annual Vacancy Dollar	$956	$985	$1,014	$1,045	$1,076
Annual Gross Operating Income	$30,908	$31,836	$32,791	$33,774	$34,788
Annual Expenses	1	2	3	4	5
Property Taxes Percent	0.623%	0.623%	0.623%	0.623%	0.623%
Property Taxes Dollar	$2,413	$2,486	$2,560	$2,637	$2,716
Insurance Percent	0.442%	0.442%	0.442%	0.442%	0.442%
Insurance Dollar	$1,712	$1,763	$1,816	$1,871	$1,927
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	$3,091	$3,184	$3,279	$3,377	$3,479
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	$7,216	$7,433	$7,656	$7,885	$8,122
Net Operating Income	1	2	3	4	5
Net Operating Income (NOI)	$23,692	$24,403	$25,135	$25,889	$26,666
Mortgage	1	2	3	4	5
Total Annual P&I Payments	$27,912	$27,912	$27,912	$27,912	$27,912
Principal	$4,113	$4,389	$4,683	$4,996	$5,331
Interest	$23,798	$23,523	$23,229	$22,915	$22,581
Loan Balance at End of Year	$363,879	$359,490	$354,808	$349,812	$344,481
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	$3,128	$3,128	$3,128	$3,128	$0
Equity	1	2	3	4	5
ARV - Loan Balance at End of Year	$35,102	$51,460	$68,471	$86,165	$104,576
Cash Flow	1	2	3	4	5
Annual Cash Flow	-$7,347	-$6,637	-$5,905	-$5,150	-$1,246
Monhtly Cash Flow	-$612	-$553	-$492	-$429	-$104
Cash on Cash Return on Investment	-0.149%	-0.135%	-0.120%	-0.104%	-0.025%
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