Providence Deal Analysis
Let's look at deal analysis for Providence, RI 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 Providence, Rhode Island Rental Property
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Typical 20% Down Payment Providence, Rhode Island Rental Property
|
|
Purchase Inputs
|
|
|
Percents
|
Dollars/#
|
|
ARV
|
|
$302,369
|
|
Purchase Price
|
|
$302,369
|
|
Seller Concessions
|
—
|
$0
|
|
Down Payment
|
20.000%
|
$60,474
|
|
Closing Costs
|
1.000%
|
$3,024
|
|
Rent Ready Costs
|
|
$0
|
|
Cumulative Negative Cash Flow
|
|
$0
|
|
Total Invested
|
|
$63,497
|
|
Mortgage
|
|
Mortgage Amount
|
|
$241,895.20
|
|
Mortgage Interest Rate
|
7.000%
|
|
|
Loan Term
|
|
360
|
|
Private Mortgage Insurance
|
0%
|
$0
|
|
Drop PMI LTV
|
0.000%
|
|
|
Income
|
|
Monthly Rent
|
|
$2,940
$2940.00
|
|
Other Income
|
|
$0
|
|
Annual Expenses
|
|
Vacancy Rate
|
3.000%
|
$1,058
|
|
Property Taxes
|
1.867%
|
$5,645
|
|
Property Insurance
|
0.453%
|
$1,370
|
|
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%
|
$45,355
|
|
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 |
$311,440 |
$320,783 |
$330,407 |
$340,319 |
$350,529 |
| Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Appreciation Dollar |
$9,071 |
$9,343 |
$9,623 |
$9,912 |
$10,210 |
| Monthly Income |
1 |
2 |
3 |
4 |
5 |
| Rent Appreciation Rate |
|
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Rent |
$2,940 |
$3,028 |
$3,119 |
$3,213 |
$3,309 |
| 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 |
$2,940 |
$3,028 |
$3,119 |
$3,213 |
$3,309 |
| Vacancy Percent |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Vacancy Dollar |
$88 |
$91 |
$94 |
$96 |
$99 |
| Monthly Gross Operating Income |
$2,852 |
$2,937 |
$3,025 |
$3,116 |
$3,210 |
| Annual Income |
1 |
2 |
3 |
4 |
5 |
| Annual Rent |
$35,280 |
$36,338 |
$37,429 |
$38,551 |
$39,708 |
| Annual Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Gross Potential Income |
$35,280 |
$36,338 |
$37,429 |
$38,551 |
$39,708 |
| Annual Vacancy Dollar |
$1,058 |
$1,090 |
$1,123 |
$1,157 |
$1,191 |
| Annual Gross Operating Income |
$34,222 |
$35,248 |
$36,306 |
$37,395 |
$38,517 |
| Annual Expenses |
1 |
2 |
3 |
4 |
5 |
| Property Taxes Percent |
1.867% |
1.867% |
1.867% |
1.867% |
1.867% |
| Property Taxes Dollar |
$5,645 |
$5,815 |
$5,989 |
$6,169 |
$6,354 |
| Insurance Percent |
0.453% |
0.453% |
0.453% |
0.453% |
0.453% |
| Insurance Dollar |
$1,370 |
$1,411 |
$1,453 |
$1,497 |
$1,542 |
| 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 |
$3,422 |
$3,525 |
$3,631 |
$3,739 |
$3,852 |
| 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 |
$10,437 |
$10,750 |
$11,073 |
$11,405 |
$11,747 |
| Net Operating Income |
1 |
2 |
3 |
4 |
5 |
| Net Operating Income (NOI) |
$23,784 |
$24,498 |
$25,233 |
$25,990 |
$26,770 |
| Mortgage |
1 |
2 |
3 |
4 |
5 |
| Total Annual P&I Payments |
$19,312 |
$19,312 |
$19,312 |
$19,312 |
$19,312 |
| Principal |
$2,457 |
$2,635 |
$2,825 |
$3,029 |
$3,248 |
| Interest |
$16,855 |
$16,677 |
$16,487 |
$16,282 |
$16,063 |
| Loan Balance at End of Year |
$239,438 |
$236,803 |
$233,978 |
$230,949 |
$227,700 |
| 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 |
$72,002 |
$83,980 |
$96,429 |
$109,370 |
$122,828 |
| Cash Flow |
1 |
2 |
3 |
4 |
5 |
| Annual Cash Flow |
$4,473 |
$5,186 |
$5,921 |
$6,678 |
$7,458 |
| Monhtly Cash Flow |
$373 |
$432 |
$493 |
$556 |
$621 |
| Cash on Cash Return on Investment |
0.070% |
0.082% |
0.093% |
0.105% |
0.117% |
| 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 |