Newport Beach Deal Analysis
Let's look at deal analysis for Newport 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 Newport Beach, California Rental Property
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Typical 20% Down Payment Newport Beach, California Rental Property
|
|
Purchase Inputs
|
|
|
Percents
|
Dollars/#
|
|
ARV
|
|
$2,347,137
|
|
Purchase Price
|
|
$2,347,137
|
|
Seller Concessions
|
—
|
$0
|
|
Down Payment
|
20.000%
|
$469,427
|
|
Closing Costs
|
1.000%
|
$23,471
|
|
Rent Ready Costs
|
|
$0
|
|
Cumulative Negative Cash Flow
|
|
$293,011
|
|
Total Invested
|
|
$785,910
|
|
Mortgage
|
|
Mortgage Amount
|
|
$1,877,709.60
|
|
Mortgage Interest Rate
|
7.000%
|
|
|
Loan Term
|
|
360
|
|
Private Mortgage Insurance
|
0%
|
$0
|
|
Drop PMI LTV
|
0.000%
|
|
|
Income
|
|
Monthly Rent
|
|
$11,746
$11746.35
|
|
Other Income
|
|
$0
|
|
Annual Expenses
|
|
Vacancy Rate
|
3.000%
|
$4,229
|
|
Property Taxes
|
0.560%
|
$13,144
|
|
Property Insurance
|
0.173%
|
$4,061
|
|
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%
|
$352,071
|
|
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 |
$2,417,551 |
$2,490,078 |
$2,564,780 |
$2,641,723 |
$2,720,975 |
| Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Appreciation Dollar |
$70,414 |
$72,527 |
$74,702 |
$76,943 |
$79,252 |
| Monthly Income |
1 |
2 |
3 |
4 |
5 |
| Rent Appreciation Rate |
|
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Rent |
$11,746 |
$12,099 |
$12,462 |
$12,836 |
$13,221 |
| 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 |
$11,746 |
$12,099 |
$12,462 |
$12,836 |
$13,221 |
| Vacancy Percent |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Vacancy Dollar |
$352 |
$363 |
$374 |
$385 |
$397 |
| Monthly Gross Operating Income |
$11,394 |
$11,736 |
$12,088 |
$12,450 |
$12,824 |
| Annual Income |
1 |
2 |
3 |
4 |
5 |
| Annual Rent |
$140,956 |
$145,185 |
$149,540 |
$154,027 |
$158,647 |
| Annual Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Gross Potential Income |
$140,956 |
$145,185 |
$149,540 |
$154,027 |
$158,647 |
| Annual Vacancy Dollar |
$4,229 |
$4,356 |
$4,486 |
$4,621 |
$4,759 |
| Annual Gross Operating Income |
$136,728 |
$140,829 |
$145,054 |
$149,406 |
$153,888 |
| Annual Expenses |
1 |
2 |
3 |
4 |
5 |
| Property Taxes Percent |
0.560% |
0.560% |
0.560% |
0.560% |
0.560% |
| Property Taxes Dollar |
$13,144 |
$13,538 |
$13,944 |
$14,363 |
$14,794 |
| Insurance Percent |
0.173% |
0.173% |
0.173% |
0.173% |
0.173% |
| Insurance Dollar |
$4,061 |
$4,182 |
$4,308 |
$4,437 |
$4,570 |
| 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 |
$13,673 |
$14,083 |
$14,505 |
$14,941 |
$15,389 |
| 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 |
$30,877 |
$31,804 |
$32,758 |
$33,740 |
$34,753 |
| Net Operating Income |
1 |
2 |
3 |
4 |
5 |
| Net Operating Income (NOI) |
$105,850 |
$109,026 |
$112,297 |
$115,665 |
$119,135 |
| Mortgage |
1 |
2 |
3 |
4 |
5 |
| Total Annual P&I Payments |
$149,909 |
$149,909 |
$149,909 |
$149,909 |
$149,909 |
| Principal |
$19,074 |
$20,453 |
$21,931 |
$23,517 |
$25,217 |
| Interest |
$130,835 |
$129,457 |
$127,978 |
$126,393 |
$124,693 |
| Loan Balance at End of Year |
$1,858,636 |
$1,838,183 |
$1,816,251 |
$1,792,735 |
$1,767,518 |
| 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 |
$558,915 |
$651,895 |
$748,529 |
$848,989 |
$953,457 |
| Cash Flow |
1 |
2 |
3 |
4 |
5 |
| Annual Cash Flow |
-$44,059 |
-$40,884 |
-$37,613 |
-$34,244 |
-$30,774 |
| Monhtly Cash Flow |
-$3,672 |
-$3,407 |
-$3,134 |
-$2,854 |
-$2,565 |
| Cash on Cash Return on Investment |
-0.056% |
-0.052% |
-0.048% |
-0.044% |
-0.039% |
| 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 |