Long Beach Deal Analysis
Let's look at deal analysis for Long Beach, 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 Long Beach, California Rental Property
|
Typical 20% Down Payment Long Beach, California Rental Property
|
|
Purchase Inputs
|
|
|
Percents
|
Dollars/#
|
|
ARV
|
|
$777,430
|
|
Purchase Price
|
|
$777,430
|
|
Seller Concessions
|
—
|
$0
|
|
Down Payment
|
20.000%
|
$155,486
|
|
Closing Costs
|
1.000%
|
$7,774
|
|
Rent Ready Costs
|
|
$0
|
|
Cumulative Negative Cash Flow
|
|
$242,719
|
|
Total Invested
|
|
$405,980
|
|
Mortgage
|
|
Mortgage Amount
|
|
$621,944
|
|
Mortgage Interest Rate
|
7.000%
|
|
|
Loan Term
|
|
360
|
|
Private Mortgage Insurance
|
0%
|
$0
|
|
Drop PMI LTV
|
0.000%
|
|
|
Income
|
|
Monthly Rent
|
|
$3,334
$3333.75
|
|
Other Income
|
|
$0
|
|
Annual Expenses
|
|
Vacancy Rate
|
3.000%
|
$1,200
|
|
Property Taxes
|
0.736%
|
$5,722
|
|
Property Insurance
|
0.173%
|
$1,345
|
|
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%
|
$116,615
|
|
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 |
$800,753 |
$824,775 |
$849,519 |
$875,004 |
$901,254 |
| Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Appreciation Dollar |
$23,323 |
$24,023 |
$24,743 |
$25,486 |
$26,250 |
| Monthly Income |
1 |
2 |
3 |
4 |
5 |
| Rent Appreciation Rate |
|
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Rent |
$3,334 |
$3,434 |
$3,537 |
$3,643 |
$3,752 |
| 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 |
$3,334 |
$3,434 |
$3,537 |
$3,643 |
$3,752 |
| Vacancy Percent |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Vacancy Dollar |
$100 |
$103 |
$106 |
$109 |
$113 |
| Monthly Gross Operating Income |
$3,234 |
$3,331 |
$3,431 |
$3,534 |
$3,640 |
| Annual Income |
1 |
2 |
3 |
4 |
5 |
| Annual Rent |
$40,005 |
$41,205 |
$42,441 |
$43,715 |
$45,026 |
| Annual Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Gross Potential Income |
$40,005 |
$41,205 |
$42,441 |
$43,715 |
$45,026 |
| Annual Vacancy Dollar |
$1,200 |
$1,236 |
$1,273 |
$1,311 |
$1,351 |
| Annual Gross Operating Income |
$38,805 |
$39,969 |
$41,168 |
$42,403 |
$43,675 |
| Annual Expenses |
1 |
2 |
3 |
4 |
5 |
| Property Taxes Percent |
0.736% |
0.736% |
0.736% |
0.736% |
0.736% |
| Property Taxes Dollar |
$5,722 |
$5,894 |
$6,070 |
$6,252 |
$6,440 |
| Insurance Percent |
0.173% |
0.173% |
0.173% |
0.173% |
0.173% |
| Insurance Dollar |
$1,345 |
$1,385 |
$1,427 |
$1,470 |
$1,514 |
| 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 |
$3,880 |
$3,997 |
$4,117 |
$4,240 |
$4,368 |
| 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 |
$10,947 |
$11,276 |
$11,614 |
$11,962 |
$12,321 |
| Net Operating Income |
1 |
2 |
3 |
4 |
5 |
| Net Operating Income (NOI) |
$27,858 |
$28,693 |
$29,554 |
$30,441 |
$31,354 |
| Mortgage |
1 |
2 |
3 |
4 |
5 |
| Total Annual P&I Payments |
$49,654 |
$49,654 |
$49,654 |
$49,654 |
$49,654 |
| Principal |
$6,318 |
$6,774 |
$7,264 |
$7,789 |
$8,352 |
| Interest |
$43,336 |
$42,879 |
$42,389 |
$41,864 |
$41,301 |
| Loan Balance at End of Year |
$615,626 |
$608,852 |
$601,588 |
$593,798 |
$585,446 |
| 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 |
$185,127 |
$215,924 |
$247,931 |
$281,206 |
$315,809 |
| Cash Flow |
1 |
2 |
3 |
4 |
5 |
| Annual Cash Flow |
-$21,796 |
-$20,960 |
-$20,100 |
-$19,213 |
-$18,300 |
| Monhtly Cash Flow |
-$1,816 |
-$1,747 |
-$1,675 |
-$1,601 |
-$1,525 |
| Cash on Cash Return on Investment |
-0.054% |
-0.052% |
-0.050% |
-0.047% |
-0.045% |
| 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 |