Independence Deal Analysis
Let's look at deal analysis for Independence, MO 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 Independence, Missouri Rental Property
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Typical 20% Down Payment Independence, Missouri Rental Property
|
|
Purchase Inputs
|
|
|
Percents
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Dollars/#
|
|
ARV
|
|
$165,230
|
|
Purchase Price
|
|
$165,230
|
|
Seller Concessions
|
—
|
$0
|
|
Down Payment
|
20.000%
|
$33,046
|
|
Closing Costs
|
1.000%
|
$1,652
|
|
Rent Ready Costs
|
|
$0
|
|
Cumulative Negative Cash Flow
|
|
$33
|
|
Total Invested
|
|
$34,732
|
|
Mortgage
|
|
Mortgage Amount
|
|
$132,184
|
|
Mortgage Interest Rate
|
7.000%
|
|
|
Loan Term
|
|
360
|
|
Private Mortgage Insurance
|
0%
|
$0
|
|
Drop PMI LTV
|
0.000%
|
|
|
Income
|
|
Monthly Rent
|
|
$1,465
$1464.75
|
|
Other Income
|
|
$0
|
|
Annual Expenses
|
|
Vacancy Rate
|
3.000%
|
$527
|
|
Property Taxes
|
1.372%
|
$2,267
|
|
Property Insurance
|
1.550%
|
$2,561
|
|
HOA Dues
|
|
$0
|
|
Utilities
|
|
$0
|
|
Other Expenses 1
|
|
$0
|
|
Other Expenses 2
|
|
$0
|
|
Maintenance
|
10.000%
|
|
|
CapEx
|
|
$0
|
|
Management
|
0.000%
|
|
|
Depreciation Details
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|
Land Value
|
15.000%
|
$24,785
|
|
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 |
$170,187 |
$175,293 |
$180,551 |
$185,968 |
$191,547 |
| Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Appreciation Dollar |
$4,957 |
$5,106 |
$5,259 |
$5,417 |
$5,579 |
| Monthly Income |
1 |
2 |
3 |
4 |
5 |
| Rent Appreciation Rate |
|
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Rent |
$1,465 |
$1,509 |
$1,554 |
$1,601 |
$1,649 |
| 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 |
$1,465 |
$1,509 |
$1,554 |
$1,601 |
$1,649 |
| Vacancy Percent |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Vacancy Dollar |
$44 |
$45 |
$47 |
$48 |
$49 |
| Monthly Gross Operating Income |
$1,421 |
$1,463 |
$1,507 |
$1,553 |
$1,599 |
| Annual Income |
1 |
2 |
3 |
4 |
5 |
| Annual Rent |
$17,577 |
$18,104 |
$18,647 |
$19,207 |
$19,783 |
| Annual Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Gross Potential Income |
$17,577 |
$18,104 |
$18,647 |
$19,207 |
$19,783 |
| Annual Vacancy Dollar |
$527 |
$543 |
$559 |
$576 |
$593 |
| Annual Gross Operating Income |
$17,050 |
$17,561 |
$18,088 |
$18,631 |
$19,190 |
| Annual Expenses |
1 |
2 |
3 |
4 |
5 |
| Property Taxes Percent |
1.372% |
1.372% |
1.372% |
1.372% |
1.372% |
| Property Taxes Dollar |
$2,267 |
$2,335 |
$2,405 |
$2,477 |
$2,551 |
| Insurance Percent |
1.550% |
1.550% |
1.550% |
1.550% |
1.550% |
| Insurance Dollar |
$2,561 |
$2,638 |
$2,717 |
$2,799 |
$2,883 |
| 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 |
$1,705 |
$1,756 |
$1,809 |
$1,863 |
$1,919 |
| 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 |
$6,533 |
$6,729 |
$6,931 |
$7,139 |
$7,353 |
| Net Operating Income |
1 |
2 |
3 |
4 |
5 |
| Net Operating Income (NOI) |
$10,517 |
$10,832 |
$11,157 |
$11,492 |
$11,837 |
| Mortgage |
1 |
2 |
3 |
4 |
5 |
| Total Annual P&I Payments |
$10,553 |
$10,553 |
$10,553 |
$10,553 |
$10,553 |
| Principal |
$1,343 |
$1,440 |
$1,544 |
$1,655 |
$1,775 |
| Interest |
$9,210 |
$9,113 |
$9,009 |
$8,898 |
$8,778 |
| Loan Balance at End of Year |
$130,841 |
$129,402 |
$127,858 |
$126,202 |
$124,427 |
| 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 |
$39,346 |
$45,891 |
$52,694 |
$59,766 |
$67,120 |
| Cash Flow |
1 |
2 |
3 |
4 |
5 |
| Annual Cash Flow |
-$36 |
$279 |
$604 |
$939 |
$1,284 |
| Monhtly Cash Flow |
-$3 |
$23 |
$50 |
$78 |
$107 |
| Cash on Cash Return on Investment |
-0.001% |
0.008% |
0.017% |
0.027% |
0.037% |
| 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 |