Elgin Deal Analysis

Let's look at deal analysis for Elgin, IL 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 Elgin, Illinois Nomad™ Property with 10% Higher Rents

Typical Elgin, Illinois Nomad™ Property with 10% Higher Rents
Purchase Inputs
	Percents	Dollars/#
ARV		$243,823
Purchase Price		$243,823
Seller Concessions	—	$0
Down Payment	5.000%	$12,191
Closing Costs	1.000%	$2,438
Rent Ready Costs		$0
Cumulative Negative Cash Flow		$5,544
Total Invested		$20,173
Mortgage
Mortgage Amount		$231,631.85
Mortgage Interest Rate	6.500%
Loan Term		360
Private Mortgage Insurance	0.850%	$164.07
Drop PMI LTV	80.000%
Income
Monthly Rent		$2,541 $2541.00
Other Income		$0
Annual Expenses
Vacancy Rate	3.000%	$915
Property Taxes	3.050%	$7,437
Property Insurance	0.786%	$1,916
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%	$36,573
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	$251,138	$258,672	$266,432	$274,425	$282,658
Appreciation Rate	3.000%	3.000%	3.000%	3.000%	3.000%
Appreciation Dollar	$7,315	$7,534	$7,760	$7,993	$8,233
Monthly Income	1	2	3	4	5
Rent Appreciation Rate		3.000%	3.000%	3.000%	3.000%
Monthly Rent	$2,541	$2,617	$2,696	$2,777	$2,860
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	$2,541	$2,617	$2,696	$2,777	$2,860
Vacancy Percent	3.000%	3.000%	3.000%	3.000%	3.000%
Monthly Vacancy Dollar	$76	$79	$81	$83	$86
Monthly Gross Operating Income	$2,465	$2,539	$2,615	$2,693	$2,774
Annual Income	1	2	3	4	5
Annual Rent	$30,492	$31,407	$32,349	$33,319	$34,319
Annual Other Income	$0	$0	$0	$0	$0
Annual Gross Potential Income	$30,492	$31,407	$32,349	$33,319	$34,319
Annual Vacancy Dollar	$915	$942	$970	$1,000	$1,030
Annual Gross Operating Income	$29,577	$30,465	$31,378	$32,320	$33,289
Annual Expenses	1	2	3	4	5
Property Taxes Percent	3.050%	3.050%	3.050%	3.050%	3.050%
Property Taxes Dollar	$7,437	$7,660	$7,889	$8,126	$8,370
Insurance Percent	0.786%	0.786%	0.786%	0.786%	0.786%
Insurance Dollar	$1,916	$1,974	$2,033	$2,094	$2,157
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	$2,958	$3,046	$3,138	$3,232	$3,329
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	$12,311	$12,680	$13,061	$13,452	$13,856
Net Operating Income	1	2	3	4	5
Net Operating Income (NOI)	$17,266	$17,784	$18,318	$18,868	$19,434
Mortgage	1	2	3	4	5
Total Annual P&I Payments	$17,569	$17,569	$17,569	$17,569	$17,569
Principal	$2,589	$2,762	$2,947	$3,145	$3,355
Interest	$14,980	$14,806	$14,621	$14,424	$14,213
Loan Balance at End of Year	$229,043	$226,280	$223,333	$220,188	$216,833
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	$1,969	$1,969	$1,969	$1,969	$0
Equity	1	2	3	4	5
ARV - Loan Balance at End of Year	$22,095	$32,391	$43,099	$54,237	$65,825
Cash Flow	1	2	3	4	5
Annual Cash Flow	-$2,271	-$1,753	-$1,220	-$670	$1,865
Monhtly Cash Flow	-$189	-$146	-$102	-$56	$155
Cash on Cash Return on Investment	-0.113%	-0.087%	-0.060%	-0.033%	0.092%
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