Billings Deal Analysis
Let's look at deal analysis for Billings, MT 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 Billings, Montana Rental Property
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Typical 20% Down Payment Billings, Montana Rental Property
|
|
Purchase Inputs
|
|
|
Percents
|
Dollars/#
|
|
ARV
|
|
$305,930
|
|
Purchase Price
|
|
$305,930
|
|
Seller Concessions
|
—
|
$0
|
|
Down Payment
|
20.000%
|
$61,186
|
|
Closing Costs
|
1.000%
|
$3,059
|
|
Rent Ready Costs
|
|
$0
|
|
Cumulative Negative Cash Flow
|
|
$22,975
|
|
Total Invested
|
|
$87,220
|
|
Mortgage
|
|
Mortgage Amount
|
|
$244,744
|
|
Mortgage Interest Rate
|
7.000%
|
|
|
Loan Term
|
|
360
|
|
Private Mortgage Insurance
|
0%
|
$0
|
|
Drop PMI LTV
|
0.000%
|
|
|
Income
|
|
Monthly Rent
|
|
$1,916
$1916.25
|
|
Other Income
|
|
$0
|
|
Annual Expenses
|
|
Vacancy Rate
|
3.000%
|
$690
|
|
Property Taxes
|
0.965%
|
$2,952
|
|
Property Insurance
|
0.690%
|
$2,111
|
|
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%
|
$45,890
|
|
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 |
$315,108 |
$324,561 |
$334,298 |
$344,327 |
$354,657 |
| Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Appreciation Dollar |
$9,178 |
$9,453 |
$9,737 |
$10,029 |
$10,330 |
| Monthly Income |
1 |
2 |
3 |
4 |
5 |
| Rent Appreciation Rate |
|
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Rent |
$1,916 |
$1,974 |
$2,033 |
$2,094 |
$2,157 |
| 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 |
$1,916 |
$1,974 |
$2,033 |
$2,094 |
$2,157 |
| Vacancy Percent |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Vacancy Dollar |
$57 |
$59 |
$61 |
$63 |
$65 |
| Monthly Gross Operating Income |
$1,859 |
$1,915 |
$1,972 |
$2,031 |
$2,092 |
| Annual Income |
1 |
2 |
3 |
4 |
5 |
| Annual Rent |
$22,995 |
$23,685 |
$24,395 |
$25,127 |
$25,881 |
| Annual Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Gross Potential Income |
$22,995 |
$23,685 |
$24,395 |
$25,127 |
$25,881 |
| Annual Vacancy Dollar |
$690 |
$711 |
$732 |
$754 |
$776 |
| Annual Gross Operating Income |
$22,305 |
$22,974 |
$23,664 |
$24,373 |
$25,105 |
| Annual Expenses |
1 |
2 |
3 |
4 |
5 |
| Property Taxes Percent |
0.965% |
0.965% |
0.965% |
0.965% |
0.965% |
| Property Taxes Dollar |
$2,952 |
$3,041 |
$3,132 |
$3,226 |
$3,323 |
| Insurance Percent |
0.690% |
0.690% |
0.690% |
0.690% |
0.690% |
| Insurance Dollar |
$2,111 |
$2,174 |
$2,239 |
$2,307 |
$2,376 |
| 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 |
$2,231 |
$2,297 |
$2,366 |
$2,437 |
$2,510 |
| 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 |
$7,294 |
$7,512 |
$7,738 |
$7,970 |
$8,209 |
| Net Operating Income |
1 |
2 |
3 |
4 |
5 |
| Net Operating Income (NOI) |
$15,011 |
$15,462 |
$15,926 |
$16,403 |
$16,896 |
| Mortgage |
1 |
2 |
3 |
4 |
5 |
| Total Annual P&I Payments |
$19,539 |
$19,539 |
$19,539 |
$19,539 |
$19,539 |
| Principal |
$2,486 |
$2,666 |
$2,859 |
$3,065 |
$3,287 |
| Interest |
$17,053 |
$16,874 |
$16,681 |
$16,474 |
$16,253 |
| Loan Balance at End of Year |
$242,258 |
$239,592 |
$236,733 |
$233,668 |
$230,381 |
| 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 |
$72,850 |
$84,969 |
$97,565 |
$110,659 |
$124,275 |
| Cash Flow |
1 |
2 |
3 |
4 |
5 |
| Annual Cash Flow |
-$4,528 |
-$4,078 |
-$3,614 |
-$3,136 |
-$2,644 |
| Monhtly Cash Flow |
-$377 |
-$340 |
-$301 |
-$261 |
-$220 |
| Cash on Cash Return on Investment |
-0.052% |
-0.047% |
-0.041% |
-0.036% |
-0.030% |
| 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 |