Centennial Deal Analysis
Let's look at deal analysis for Centennial, CO 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 Centennial, Colorado Nomad™ Property with 10% Higher Rents
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Typical Centennial, Colorado Nomad™ Property with 10% Higher Rents
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Purchase Inputs
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|
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Percents
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Dollars/#
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|
ARV
|
|
$641,125
|
|
Purchase Price
|
|
$641,125
|
|
Seller Concessions
|
—
|
$0
|
|
Down Payment
|
5.000%
|
$32,056
|
|
Closing Costs
|
1.000%
|
$6,411
|
|
Rent Ready Costs
|
|
$0
|
|
Cumulative Negative Cash Flow
|
|
$185,521
|
|
Total Invested
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$223,989
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Mortgage
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Mortgage Amount
|
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$609,068.75
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Mortgage Interest Rate
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6.500%
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|
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Loan Term
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|
360
|
|
Private Mortgage Insurance
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0.850%
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$431.42
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Drop PMI LTV
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80.000%
|
|
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Income
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Monthly Rent
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$3,407
$3407.25
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Other Income
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|
$0
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Annual Expenses
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Vacancy Rate
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3.000%
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$1,227
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Property Taxes
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0.626%
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$4,013
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Property Insurance
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0.508%
|
$3,257
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|
HOA Dues
|
|
$0
|
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Utilities
|
|
$0
|
|
Other Expenses 1
|
|
$0
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|
Other Expenses 2
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|
$0
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Maintenance
|
10.000%
|
|
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CapEx
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$0
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Management
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0.000%
|
|
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Depreciation Details
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|
Land Value
|
15.000%
|
$96,169
|
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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 |
$660,359 |
$680,170 |
$700,575 |
$721,592 |
$743,240 |
| Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Appreciation Dollar |
$19,234 |
$19,811 |
$20,405 |
$21,017 |
$21,648 |
| Monthly Income |
1 |
2 |
3 |
4 |
5 |
| Rent Appreciation Rate |
|
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Rent |
$3,407 |
$3,509 |
$3,615 |
$3,723 |
$3,835 |
| 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 |
$3,407 |
$3,509 |
$3,615 |
$3,723 |
$3,835 |
| Vacancy Percent |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Vacancy Dollar |
$102 |
$105 |
$108 |
$112 |
$115 |
| Monthly Gross Operating Income |
$3,305 |
$3,404 |
$3,506 |
$3,611 |
$3,720 |
| Annual Income |
1 |
2 |
3 |
4 |
5 |
| Annual Rent |
$40,887 |
$42,114 |
$43,377 |
$44,678 |
$46,019 |
| Annual Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Gross Potential Income |
$40,887 |
$42,114 |
$43,377 |
$44,678 |
$46,019 |
| Annual Vacancy Dollar |
$1,227 |
$1,263 |
$1,301 |
$1,340 |
$1,381 |
| Annual Gross Operating Income |
$39,660 |
$40,850 |
$42,076 |
$43,338 |
$44,638 |
| Annual Expenses |
1 |
2 |
3 |
4 |
5 |
| Property Taxes Percent |
0.626% |
0.626% |
0.626% |
0.626% |
0.626% |
| Property Taxes Dollar |
$4,013 |
$4,134 |
$4,258 |
$4,386 |
$4,517 |
| Insurance Percent |
0.508% |
0.508% |
0.508% |
0.508% |
0.508% |
| Insurance Dollar |
$3,257 |
$3,355 |
$3,455 |
$3,559 |
$3,666 |
| 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 |
$3,966 |
$4,085 |
$4,208 |
$4,334 |
$4,464 |
| 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 |
$11,236 |
$11,573 |
$11,921 |
$12,278 |
$12,647 |
| Net Operating Income |
1 |
2 |
3 |
4 |
5 |
| Net Operating Income (NOI) |
$28,424 |
$29,277 |
$30,155 |
$31,060 |
$31,991 |
| Mortgage |
1 |
2 |
3 |
4 |
5 |
| Total Annual P&I Payments |
$46,197 |
$46,197 |
$46,197 |
$46,197 |
$46,197 |
| Principal |
$6,808 |
$7,264 |
$7,750 |
$8,269 |
$8,823 |
| Interest |
$39,389 |
$38,933 |
$38,447 |
$37,928 |
$37,374 |
| Loan Balance at End of Year |
$602,261 |
$594,997 |
$587,247 |
$578,978 |
$570,155 |
| 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 |
$5,177 |
$5,177 |
$5,177 |
$5,177 |
$0 |
| Equity |
1 |
2 |
3 |
4 |
5 |
| ARV - Loan Balance at End of Year |
$58,098 |
$85,172 |
$113,327 |
$142,614 |
$173,084 |
| Cash Flow |
1 |
2 |
3 |
4 |
5 |
| Annual Cash Flow |
-$22,950 |
-$22,097 |
-$21,219 |
-$20,314 |
-$14,205 |
| Monhtly Cash Flow |
-$1,912 |
-$1,841 |
-$1,768 |
-$1,693 |
-$1,184 |
| Cash on Cash Return on Investment |
-0.102% |
-0.099% |
-0.095% |
-0.091% |
-0.063% |
| 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 |