Midland Deal Analysis
Let's look at deal analysis for Midland, TX 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 Midland, Texas Nomad™ Property with 10% Higher Rents
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Typical Midland, Texas 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
|
|
$257,075
|
|
Purchase Price
|
|
$257,075
|
|
Seller Concessions
|
—
|
$0
|
|
Down Payment
|
5.000%
|
$12,854
|
|
Closing Costs
|
1.000%
|
$2,571
|
|
Rent Ready Costs
|
|
$0
|
|
Cumulative Negative Cash Flow
|
|
$28,882
|
|
Total Invested
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$44,306
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Mortgage
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|
Mortgage Amount
|
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$244,221.25
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Mortgage Interest Rate
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6.500%
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|
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Loan Term
|
|
360
|
|
Private Mortgage Insurance
|
0.850%
|
$172.99
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Drop PMI LTV
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80.000%
|
|
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Income
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|
Monthly Rent
|
|
$2,137
$2136.75
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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%
|
$769
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Property Taxes
|
1.714%
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$4,406
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Property Insurance
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1.419%
|
$3,648
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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%
|
$38,561
|
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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 |
$264,787 |
$272,731 |
$280,913 |
$289,340 |
$298,020 |
| Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Appreciation Dollar |
$7,712 |
$7,944 |
$8,182 |
$8,427 |
$8,680 |
| Monthly Income |
1 |
2 |
3 |
4 |
5 |
| Rent Appreciation Rate |
|
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Rent |
$2,137 |
$2,201 |
$2,267 |
$2,335 |
$2,405 |
| 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 |
$2,137 |
$2,201 |
$2,267 |
$2,335 |
$2,405 |
| Vacancy Percent |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Vacancy Dollar |
$64 |
$66 |
$68 |
$70 |
$72 |
| Monthly Gross Operating Income |
$2,073 |
$2,135 |
$2,199 |
$2,265 |
$2,333 |
| Annual Income |
1 |
2 |
3 |
4 |
5 |
| Annual Rent |
$25,641 |
$26,410 |
$27,203 |
$28,019 |
$28,859 |
| Annual Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Gross Potential Income |
$25,641 |
$26,410 |
$27,203 |
$28,019 |
$28,859 |
| Annual Vacancy Dollar |
$769 |
$792 |
$816 |
$841 |
$866 |
| Annual Gross Operating Income |
$24,872 |
$25,618 |
$26,386 |
$27,178 |
$27,993 |
| Annual Expenses |
1 |
2 |
3 |
4 |
5 |
| Property Taxes Percent |
1.714% |
1.714% |
1.714% |
1.714% |
1.714% |
| Property Taxes Dollar |
$4,406 |
$4,538 |
$4,675 |
$4,815 |
$4,959 |
| Insurance Percent |
1.419% |
1.419% |
1.419% |
1.419% |
1.419% |
| Insurance Dollar |
$3,648 |
$3,757 |
$3,870 |
$3,986 |
$4,106 |
| 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 |
$2,487 |
$2,562 |
$2,639 |
$2,718 |
$2,799 |
| 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 |
$10,541 |
$10,858 |
$11,183 |
$11,519 |
$11,864 |
| Net Operating Income |
1 |
2 |
3 |
4 |
5 |
| Net Operating Income (NOI) |
$14,330 |
$14,760 |
$15,203 |
$15,659 |
$16,129 |
| Mortgage |
1 |
2 |
3 |
4 |
5 |
| Total Annual P&I Payments |
$18,524 |
$18,524 |
$18,524 |
$18,524 |
$18,524 |
| Principal |
$2,730 |
$2,912 |
$3,108 |
$3,316 |
$3,538 |
| Interest |
$15,794 |
$15,611 |
$15,416 |
$15,208 |
$14,986 |
| Loan Balance at End of Year |
$241,492 |
$238,579 |
$235,472 |
$232,156 |
$228,618 |
| 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 |
$2,076 |
$2,076 |
$2,076 |
$2,076 |
$0 |
| Equity |
1 |
2 |
3 |
4 |
5 |
| ARV - Loan Balance at End of Year |
$23,296 |
$34,152 |
$45,441 |
$57,184 |
$69,402 |
| Cash Flow |
1 |
2 |
3 |
4 |
5 |
| Annual Cash Flow |
-$6,269 |
-$5,839 |
-$5,396 |
-$4,940 |
-$2,395 |
| Monhtly Cash Flow |
-$522 |
-$487 |
-$450 |
-$412 |
-$200 |
| Cash on Cash Return on Investment |
-0.141% |
-0.132% |
-0.122% |
-0.112% |
-0.054% |
| 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 |