Sparks Deal Analysis
Let's look at deal analysis for Sparks, NV 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 Sparks, Nevada Nomad™ Property with 10% Higher Rents
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Typical Sparks, Nevada Nomad™ Property with 10% Higher Rents
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Purchase Inputs
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|
|
Percents
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Dollars/#
|
|
ARV
|
|
$474,253
|
|
Purchase Price
|
|
$474,253
|
|
Seller Concessions
|
—
|
$0
|
|
Down Payment
|
5.000%
|
$23,713
|
|
Closing Costs
|
1.000%
|
$4,743
|
|
Rent Ready Costs
|
|
$0
|
|
Cumulative Negative Cash Flow
|
|
$63,166
|
|
Total Invested
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|
$91,621
|
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Mortgage
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|
Mortgage Amount
|
|
$450,540.35
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|
Mortgage Interest Rate
|
6.500%
|
|
|
Loan Term
|
|
360
|
|
Private Mortgage Insurance
|
0.850%
|
$319.13
|
|
Drop PMI LTV
|
80.000%
|
|
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Income
|
|
Monthly Rent
|
|
$2,888
$2887.50
|
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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%
|
$1,040
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Property Taxes
|
0.706%
|
$3,348
|
|
Property Insurance
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0.287%
|
$1,361
|
|
HOA Dues
|
|
$0
|
|
Utilities
|
|
$0
|
|
Other Expenses 1
|
|
$0
|
|
Other Expenses 2
|
|
$0
|
|
Maintenance
|
10.000%
|
|
|
CapEx
|
|
$0
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Management
|
0.000%
|
|
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Depreciation Details
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|
Land Value
|
15.000%
|
$71,138
|
|
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 |
$488,481 |
$503,135 |
$518,229 |
$533,776 |
$549,789 |
| Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Appreciation Dollar |
$14,228 |
$14,654 |
$15,094 |
$15,547 |
$16,013 |
| Monthly Income |
1 |
2 |
3 |
4 |
5 |
| Rent Appreciation Rate |
|
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Rent |
$2,888 |
$2,974 |
$3,063 |
$3,155 |
$3,250 |
| 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 |
$2,888 |
$2,974 |
$3,063 |
$3,155 |
$3,250 |
| Vacancy Percent |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Vacancy Dollar |
$87 |
$89 |
$92 |
$95 |
$97 |
| Monthly Gross Operating Income |
$2,801 |
$2,885 |
$2,971 |
$3,061 |
$3,152 |
| Annual Income |
1 |
2 |
3 |
4 |
5 |
| Annual Rent |
$34,650 |
$35,690 |
$36,760 |
$37,863 |
$38,999 |
| Annual Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Gross Potential Income |
$34,650 |
$35,690 |
$36,760 |
$37,863 |
$38,999 |
| Annual Vacancy Dollar |
$1,040 |
$1,071 |
$1,103 |
$1,136 |
$1,170 |
| Annual Gross Operating Income |
$33,611 |
$34,619 |
$35,657 |
$36,727 |
$37,829 |
| Annual Expenses |
1 |
2 |
3 |
4 |
5 |
| Property Taxes Percent |
0.706% |
0.706% |
0.706% |
0.706% |
0.706% |
| Property Taxes Dollar |
$3,348 |
$3,449 |
$3,552 |
$3,659 |
$3,768 |
| Insurance Percent |
0.287% |
0.287% |
0.287% |
0.287% |
0.287% |
| Insurance Dollar |
$1,361 |
$1,402 |
$1,444 |
$1,487 |
$1,532 |
| 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 |
$3,361 |
$3,462 |
$3,566 |
$3,673 |
$3,783 |
| 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 |
$8,070 |
$8,312 |
$8,562 |
$8,819 |
$9,083 |
| Net Operating Income |
1 |
2 |
3 |
4 |
5 |
| Net Operating Income (NOI) |
$25,540 |
$26,306 |
$27,096 |
$27,908 |
$28,746 |
| Mortgage |
1 |
2 |
3 |
4 |
5 |
| Total Annual P&I Payments |
$34,173 |
$34,173 |
$34,173 |
$34,173 |
$34,173 |
| Principal |
$5,036 |
$5,373 |
$5,733 |
$6,117 |
$6,526 |
| Interest |
$29,137 |
$28,800 |
$28,440 |
$28,056 |
$27,646 |
| Loan Balance at End of Year |
$445,505 |
$440,132 |
$434,399 |
$428,282 |
$421,755 |
| 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 |
$3,830 |
$3,830 |
$3,830 |
$3,830 |
$0 |
| Equity |
1 |
2 |
3 |
4 |
5 |
| ARV - Loan Balance at End of Year |
$42,976 |
$63,003 |
$83,830 |
$105,494 |
$128,034 |
| Cash Flow |
1 |
2 |
3 |
4 |
5 |
| Annual Cash Flow |
-$12,462 |
-$11,696 |
-$10,907 |
-$10,094 |
-$5,427 |
| Monhtly Cash Flow |
-$1,039 |
-$975 |
-$909 |
-$841 |
-$452 |
| Cash on Cash Return on Investment |
-0.136% |
-0.128% |
-0.119% |
-0.110% |
-0.059% |
| 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 |