Santa Barbara Deal Analysis
Let's look at deal analysis for Santa Barbara, CA 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 Santa Barbara, California Nomad™ Property with 10% Higher Rents
|
Typical Santa Barbara, California Nomad™ Property with 10% Higher Rents
|
|
Purchase Inputs
|
|
|
Percents
|
Dollars/#
|
|
ARV
|
|
$1,701,822
|
|
Purchase Price
|
|
$1,701,822
|
|
Seller Concessions
|
—
|
$0
|
|
Down Payment
|
5.000%
|
$85,091
|
|
Closing Costs
|
1.000%
|
$17,018
|
|
Rent Ready Costs
|
|
$0
|
|
Cumulative Negative Cash Flow
|
|
$752,613
|
|
Total Invested
|
|
$854,722
|
|
Mortgage
|
|
Mortgage Amount
|
|
$1,616,730.90
|
|
Mortgage Interest Rate
|
6.500%
|
|
|
Loan Term
|
|
360
|
|
Private Mortgage Insurance
|
0.850%
|
$1,145.18
|
|
Drop PMI LTV
|
80.000%
|
|
|
Income
|
|
Monthly Rent
|
|
$7,505
$7505.19
|
|
Other Income
|
|
$0
|
|
Annual Expenses
|
|
Vacancy Rate
|
3.000%
|
$2,702
|
|
Property Taxes
|
0.610%
|
$10,381
|
|
Property Insurance
|
0.173%
|
$2,944
|
|
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%
|
$255,273
|
|
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 |
$1,752,877 |
$1,805,463 |
$1,859,627 |
$1,915,416 |
$1,972,878 |
| Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Appreciation Dollar |
$51,055 |
$52,586 |
$54,164 |
$55,789 |
$57,462 |
| Monthly Income |
1 |
2 |
3 |
4 |
5 |
| Rent Appreciation Rate |
|
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Rent |
$7,505 |
$7,730 |
$7,962 |
$8,201 |
$8,447 |
| 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 |
$7,505 |
$7,730 |
$7,962 |
$8,201 |
$8,447 |
| Vacancy Percent |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Vacancy Dollar |
$225 |
$232 |
$239 |
$246 |
$253 |
| Monthly Gross Operating Income |
$7,280 |
$7,498 |
$7,723 |
$7,955 |
$8,194 |
| Annual Income |
1 |
2 |
3 |
4 |
5 |
| Annual Rent |
$90,062 |
$92,764 |
$95,547 |
$98,413 |
$101,366 |
| Annual Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Gross Potential Income |
$90,062 |
$92,764 |
$95,547 |
$98,413 |
$101,366 |
| Annual Vacancy Dollar |
$2,702 |
$2,783 |
$2,866 |
$2,952 |
$3,041 |
| Annual Gross Operating Income |
$87,360 |
$89,981 |
$92,681 |
$95,461 |
$98,325 |
| Annual Expenses |
1 |
2 |
3 |
4 |
5 |
| Property Taxes Percent |
0.610% |
0.610% |
0.610% |
0.610% |
0.610% |
| Property Taxes Dollar |
$10,381 |
$10,693 |
$11,013 |
$11,344 |
$11,684 |
| Insurance Percent |
0.173% |
0.173% |
0.173% |
0.173% |
0.173% |
| Insurance Dollar |
$2,944 |
$3,032 |
$3,123 |
$3,217 |
$3,314 |
| 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 |
$8,736 |
$8,998 |
$9,268 |
$9,546 |
$9,832 |
| 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 |
$22,061 |
$22,723 |
$23,405 |
$24,107 |
$24,830 |
| Net Operating Income |
1 |
2 |
3 |
4 |
5 |
| Net Operating Income (NOI) |
$65,299 |
$67,258 |
$69,276 |
$71,354 |
$73,495 |
| Mortgage |
1 |
2 |
3 |
4 |
5 |
| Total Annual P&I Payments |
$122,626 |
$122,626 |
$122,626 |
$122,626 |
$122,626 |
| Principal |
$18,071 |
$19,281 |
$20,572 |
$21,950 |
$23,420 |
| Interest |
$104,555 |
$103,345 |
$102,054 |
$100,676 |
$99,206 |
| Loan Balance at End of Year |
$1,598,660 |
$1,579,379 |
$1,558,807 |
$1,536,857 |
$1,513,438 |
| 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 |
$13,742 |
$13,742 |
$13,742 |
$13,742 |
$0 |
| Equity |
1 |
2 |
3 |
4 |
5 |
| ARV - Loan Balance at End of Year |
$154,216 |
$226,084 |
$300,820 |
$378,558 |
$459,441 |
| Cash Flow |
1 |
2 |
3 |
4 |
5 |
| Annual Cash Flow |
-$71,069 |
-$69,110 |
-$67,092 |
-$65,014 |
-$49,131 |
| Monhtly Cash Flow |
-$5,922 |
-$5,759 |
-$5,591 |
-$5,418 |
-$4,094 |
| Cash on Cash Return on Investment |
-0.083% |
-0.081% |
-0.078% |
-0.076% |
-0.057% |
| 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 |