Irvine Deal Analysis
Let's look at deal analysis for Irvine, CA and for 
32 10 20% Down Rental Properties (no Owner-Occupant).
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 20% Down Payment Irvine, California Rental Property
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Typical 20% Down Payment Irvine, California Rental Property
|
|
Purchase Inputs
|
|
|
Percents
|
Dollars/#
|
|
ARV
|
|
$1,115,813
|
|
Purchase Price
|
|
$1,115,813
|
|
Seller Concessions
|
—
|
$0
|
|
Down Payment
|
20.000%
|
$223,163
|
|
Closing Costs
|
1.000%
|
$11,158
|
|
Rent Ready Costs
|
|
$0
|
|
Cumulative Negative Cash Flow
|
|
$151,385
|
|
Total Invested
|
|
$385,706
|
|
Mortgage
|
|
Mortgage Amount
|
|
$892,650.40
|
|
Mortgage Interest Rate
|
7.000%
|
|
|
Loan Term
|
|
360
|
|
Private Mortgage Insurance
|
0%
|
$0
|
|
Drop PMI LTV
|
0.000%
|
|
|
Income
|
|
Monthly Rent
|
|
$5,828
$5827.50
|
|
Other Income
|
|
$0
|
|
Annual Expenses
|
|
Vacancy Rate
|
3.000%
|
$2,098
|
|
Property Taxes
|
0.861%
|
$9,607
|
|
Property Insurance
|
0.173%
|
$1,930
|
|
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%
|
$167,372
|
|
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 |
$1,149,287 |
$1,183,766 |
$1,219,279 |
$1,255,857 |
$1,293,533 |
| Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Appreciation Dollar |
$33,474 |
$34,479 |
$35,513 |
$36,578 |
$37,676 |
| Monthly Income |
1 |
2 |
3 |
4 |
5 |
| Rent Appreciation Rate |
|
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Rent |
$5,828 |
$6,002 |
$6,182 |
$6,368 |
$6,559 |
| 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 |
$5,828 |
$6,002 |
$6,182 |
$6,368 |
$6,559 |
| Vacancy Percent |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Vacancy Dollar |
$175 |
$180 |
$185 |
$191 |
$197 |
| Monthly Gross Operating Income |
$5,653 |
$5,822 |
$5,997 |
$6,177 |
$6,362 |
| Annual Income |
1 |
2 |
3 |
4 |
5 |
| Annual Rent |
$69,930 |
$72,028 |
$74,189 |
$76,414 |
$78,707 |
| Annual Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Gross Potential Income |
$69,930 |
$72,028 |
$74,189 |
$76,414 |
$78,707 |
| Annual Vacancy Dollar |
$2,098 |
$2,161 |
$2,226 |
$2,292 |
$2,361 |
| Annual Gross Operating Income |
$67,832 |
$69,867 |
$71,963 |
$74,122 |
$76,346 |
| Annual Expenses |
1 |
2 |
3 |
4 |
5 |
| Property Taxes Percent |
0.861% |
0.861% |
0.861% |
0.861% |
0.861% |
| Property Taxes Dollar |
$9,607 |
$9,895 |
$10,192 |
$10,498 |
$10,813 |
| Insurance Percent |
0.173% |
0.173% |
0.173% |
0.173% |
0.173% |
| Insurance Dollar |
$1,930 |
$1,988 |
$2,048 |
$2,109 |
$2,173 |
| 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 |
$6,783 |
$6,987 |
$7,196 |
$7,412 |
$7,635 |
| 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 |
$18,321 |
$18,870 |
$19,436 |
$20,020 |
$20,620 |
| Net Operating Income |
1 |
2 |
3 |
4 |
5 |
| Net Operating Income (NOI) |
$49,511 |
$50,997 |
$52,527 |
$54,102 |
$55,725 |
| Mortgage |
1 |
2 |
3 |
4 |
5 |
| Total Annual P&I Payments |
$71,266 |
$71,266 |
$71,266 |
$71,266 |
$71,266 |
| Principal |
$9,068 |
$9,723 |
$10,426 |
$11,180 |
$11,988 |
| Interest |
$62,198 |
$61,543 |
$60,840 |
$60,086 |
$59,278 |
| Loan Balance at End of Year |
$883,583 |
$873,860 |
$863,433 |
$852,254 |
$840,266 |
| Loan-To-Value |
76.881% |
73.820% |
70.815% |
67.862% |
64.959% |
| Private Mortgage Insurance (PMI) Rate |
0.000% |
0.000% |
0.000% |
0.000% |
0.000% |
| Private Mortgage Insurance Dollar |
$0 |
$0 |
$0 |
$0 |
$0 |
| Equity |
1 |
2 |
3 |
4 |
5 |
| ARV - Loan Balance at End of Year |
$265,705 |
$309,906 |
$355,846 |
$403,604 |
$453,267 |
| Cash Flow |
1 |
2 |
3 |
4 |
5 |
| Annual Cash Flow |
-$21,755 |
-$20,269 |
-$18,739 |
-$17,164 |
-$15,540 |
| Monhtly Cash Flow |
-$1,813 |
-$1,689 |
-$1,562 |
-$1,430 |
-$1,295 |
| Cash on Cash Return on Investment |
-0.056% |
-0.053% |
-0.049% |
-0.044% |
-0.040% |
| 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 |