Property Information
New Construction, PRE-LEASED until February 2025!
Jasper, AL 35501
| Income | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Gross Rent | $22,500 | $23,175 | $23,870 | $24,586 | $25,324 | $26,084 | $26,866 | $27,672 | $28,502 | $29,357 |
| Vacancy Losses | ($1,125) | ($1,159) | ($1,194) | ($1,229) | ($1,266) | ($1,304) | ($1,343) | ($1,384) | ($1,425) | ($1,468) |
| Operating Income | $21,375 | $22,016 | $22,677 | $23,357 | $24,058 | $24,779 | $25,523 | $26,289 | $27,077 | $27,890 |
| Expenses | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Property Taxes | ($2,134) | ($2,198) | ($2,264) | ($2,332) | ($2,402) | ($2,474) | ($2,548) | ($2,625) | ($2,704) | ($2,785) |
| Insurance | ($915) | ($942) | ($970) | ($1,000) | ($1,030) | ($1,060) | ($1,092) | ($1,125) | ($1,159) | ($1,193) |
| Management Fees | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Leasing/Advertising Fees | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Association Fees | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Maintenance | ($450) | ($464) | ($477) | ($492) | ($506) | ($522) | ($537) | ($553) | ($570) | ($587) |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Operating Expenses | ($3,499) | ($3,604) | ($3,712) | ($3,823) | ($3,938) | ($4,056) | ($4,178) | ($4,303) | ($4,432) | ($4,565) |
| Income Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Net Operating Income | $17,876 | $18,412 | $18,965 | $19,534 | $20,120 | $20,723 | $21,345 | $21,985 | $22,645 | $23,324 |
| - Mortgage Payments | ($13,085) | ($13,085) | ($13,085) | ($13,085) | ($13,085) | ($13,085) | ($13,085) | ($13,085) | ($13,085) | ($13,085) |
| = Cash Flow | $4,791 | $5,327 | $5,880 | $6,449 | $7,035 | $7,638 | $8,260 | $8,900 | $9,560 | $10,239 |
| + Principal Reduction | $4,034 | $4,198 | $4,369 | $4,546 | $4,731 | $4,923 | $5,123 | $5,331 | $5,548 | $5,773 |
| + Appreciation | $18,294 | $19,392 | $20,555 | $21,788 | $23,096 | $24,481 | $25,950 | $27,507 | $29,158 | $30,907 |
| = Gross Equity Income | $27,119 | $28,917 | $30,803 | $32,783 | $34,861 | $37,043 | $39,333 | $41,739 | $44,266 | $46,920 |
| Capitalization Rate | 5.5% | 5.4% | 5.2% | 5.1% | 4.9% | 4.8% | 4.7% | 4.5% | 4.4% | 4.3% |
| Cash on Cash Return | 5.4% | 6.0% | 6.6% | 7.3% | 8.0% | 8.6% | 9.3% | 10.1% | 10.8% | 11.6% |
| Return on Equity | 27.5% | 23.7% | 20.9% | 18.9% | 17.3% | 16.1% | 15.0% | 14.2% | 13.4% | 12.8% |
| Loan Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Market Value | $323,194 | $342,586 | $363,141 | $384,929 | $408,025 | $432,506 | $458,457 | $485,964 | $515,122 | $546,029 |
| - Loan Balance | ($224,641) | ($220,443) | ($216,074) | ($211,528) | ($206,797) | ($201,874) | ($196,751) | ($191,420) | ($185,872) | ($180,098) |
| = Equity | $98,553 | $122,143 | $147,066 | $173,401 | $201,228 | $230,632 | $261,706 | $294,544 | $329,250 | $365,931 |
| Loan-to-Value Ratio | 69.5% | 64.3% | 59.5% | 55.0% | 50.7% | 46.7% | 42.9% | 39.4% | 36.1% | 33.0% |
| Potential Cash-Out Refi | $66,234 | $87,884 | $110,752 | $134,908 | $160,425 | $187,381 | $215,860 | $245,948 | $277,738 | $311,328 |
| Sale Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Equity | $98,553 | $122,143 | $147,066 | $173,401 | $201,228 | $230,632 | $261,706 | $294,544 | $329,250 | $365,931 |
| - Closing Costs | ($22,624) | ($23,981) | ($25,420) | ($26,945) | ($28,562) | ($30,275) | ($32,092) | ($34,017) | ($36,059) | ($38,222) |
| = Proceeds After Sale | $75,929 | $98,162 | $121,647 | $146,456 | $172,666 | $200,357 | $229,614 | $260,527 | $293,192 | $327,709 |
| + Cumulative Cash Flow | $4,791 | $10,118 | $15,998 | $22,447 | $29,482 | $37,120 | $45,380 | $54,280 | $63,840 | $74,079 |
| - Initial Cash Invested | ($88,421) | ($88,421) | ($88,421) | ($88,421) | ($88,421) | ($88,421) | ($88,421) | ($88,421) | ($88,421) | ($88,421) |
| = Net Profit | ($7,700) | $19,859 | $49,224 | $80,482 | $113,726 | $149,055 | $186,572 | $226,386 | $268,611 | $313,367 |
| Internal Rate of Return | -8.7% | 10.9% | 16.6% | 18.7% | 19.4% | 19.6% | 19.5% | 19.2% | 18.9% | 18.6% |
| Return on Investment | -8.7% | 22.5% | 55.7% | 91.0% | 128.6% | 168.6% | 211.0% | 256.0% | 303.8% | 354.4% |
*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.
