Property Information

• Summary
• 1 Year Projection
• 10 Year Projection
• Map

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New Construction in Huntsville Metro
Madison, AL 35756

Income	Year 1	Year 2	Year 3	Year 4	Year 5	Year 6	Year 7	Year 8	Year 9	Year 10
Gross Rent	$30,600	$31,518	$32,464	$33,437	$34,441	$35,474	$36,538	$37,634	$38,763	$39,926
Vacancy Losses	($2,448)	($2,521)	($2,597)	($2,675)	($2,755)	($2,838)	($2,923)	($3,011)	($3,101)	($3,194)
Operating Income	$28,152	$28,997	$29,866	$30,762	$31,685	$32,636	$33,615	$34,623	$35,662	$36,732

Expenses	Year 1	Year 2	Year 3	Year 4	Year 5	Year 6	Year 7	Year 8	Year 9	Year 10
Property Taxes	($3,040)	($3,131)	($3,225)	($3,322)	($3,421)	($3,524)	($3,630)	($3,739)	($3,851)	($3,966)
Insurance	($1,710)	($1,761)	($1,814)	($1,869)	($1,925)	($1,982)	($2,042)	($2,103)	($2,166)	($2,231)
Management Fees	($1,296)	($1,335)	($1,375)	($1,416)	($1,459)	($1,502)	($1,547)	($1,594)	($1,642)	($1,691)
Leasing/Advertising Fees	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Association Fees	($430)	($443)	($456)	($470)	($484)	($498)	($513)	($529)	($545)	($561)
Maintenance	($612)	($630)	($649)	($669)	($689)	($709)	($731)	($753)	($775)	($799)
Other	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Operating Expenses	($7,088)	($7,300)	($7,519)	($7,745)	($7,977)	($8,217)	($8,463)	($8,717)	($8,979)	($9,248)

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	$21,064	$21,696	$22,347	$23,017	$23,708	$24,419	$25,152	$25,906	$26,683	$27,484
- Mortgage Payments	($20,175)	($20,175)	($20,175)	($20,175)	($20,175)	($20,175)	($20,175)	($20,175)	($20,175)	($20,175)
= Cash Flow	$889	$1,521	$2,172	$2,842	$3,533	$4,244	$4,977	$5,731	$6,508	$7,309
+ Principal Reduction	$2,973	$3,172	$3,385	$3,611	$3,853	$4,111	$4,387	$4,680	$4,994	$5,328
+ Appreciation	$22,799	$24,167	$25,617	$27,154	$28,784	$30,511	$32,341	$34,282	$36,339	$38,519
= Gross Equity Income	$26,662	$28,861	$31,174	$33,608	$36,170	$38,866	$41,705	$44,693	$47,841	$51,156
Capitalization Rate	5.2%	5.1%	4.9%	4.8%	4.7%	4.5%	4.4%	4.3%	4.2%	4.0%
Cash on Cash Return	0.7%	1.3%	1.8%	2.4%	2.9%	3.5%	4.1%	4.8%	5.4%	6.1%
Return on Equity	19.1%	17.3%	15.9%	14.8%	13.9%	13.2%	12.6%	12.1%	11.6%	11.2%

Loan Analysis	Year 1	Year 2	Year 3	Year 4	Year 5	Year 6	Year 7	Year 8	Year 9	Year 10
Market Value	$402,789	$426,957	$452,574	$479,729	$508,512	$539,023	$571,364	$605,646	$641,985	$680,504
- Loan Balance	($263,020)	($259,848)	($256,463)	($252,852)	($248,998)	($244,887)	($240,501)	($235,820)	($230,826)	($225,498)
= Equity	$139,770	$167,109	$196,111	$226,877	$259,514	$294,136	$330,864	$369,826	$411,159	$455,006
Loan-to-Value Ratio	65.3%	60.9%	56.7%	52.7%	49.0%	45.4%	42.1%	38.9%	36.0%	33.1%
Potential Cash-Out Refi	$99,491	$124,413	$150,854	$178,904	$208,663	$240,234	$273,727	$309,262	$346,960	$386,956

Sale Analysis	Year 1	Year 2	Year 3	Year 4	Year 5	Year 6	Year 7	Year 8	Year 9	Year 10
Equity	$139,770	$167,109	$196,111	$226,877	$259,514	$294,136	$330,864	$369,826	$411,159	$455,006
- Closing Costs	($28,195)	($29,887)	($31,680)	($33,581)	($35,596)	($37,732)	($39,996)	($42,395)	($44,939)	($47,635)
= Proceeds After Sale	$111,574	$137,222	$164,431	$193,296	$223,918	$256,404	$290,868	$327,431	$366,220	$407,371
+ Cumulative Cash Flow	$889	$2,410	$4,582	$7,424	$10,957	$15,201	$20,178	$25,909	$32,417	$39,726
- Initial Cash Invested	($120,457)	($120,457)	($120,457)	($120,457)	($120,457)	($120,457)	($120,457)	($120,457)	($120,457)	($120,457)
= Net Profit	($7,994)	$19,175	$48,556	$80,263	$114,418	$151,148	$190,589	$232,883	$278,180	$326,640
Internal Rate of Return	-6.6%	7.7%	12.0%	13.8%	14.5%	14.8%	14.9%	14.9%	14.8%	14.6%
Return on Investment	-6.6%	15.9%	40.3%	66.6%	95.0%	125.5%	158.2%	193.3%	230.9%	271.2%

*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.