Great Investment Opportunity
Valparaiso, IN 46385
3 bedroom/ 1 bath home built in 1962
| Square Feet | 960 | | Initial Market Value | $119,900 | | Purchase Price | $119,900 | | Downpayment | $23,980 | | Loan Origination Fees | $1,918 | | Depreciable Closing Costs | $5,995 | | Other Closing Costs and Fixup | $0 | | Initial Cash Invested | $31,893 | | Cost per Square Foot | $125 | | Monthly Rent per Square Foot | $1.30 |
| Income | Monthly | Annual |
|---|
| Gross Rent | $1,250 | $15,000 | | Vacancy Losses | ($100) | ($1,200) | | Operating Income | $1,150 | $13,800 |
| Expenses | Monthly | Annual |
|---|
| Property Taxes | ($200) | ($2,398) | | Insurance | ($50) | ($600) | | Management Fees | ($92) | ($1,104) | | Leasing/Advertising Fees | $0 | $0 | | Association Fees | $0 | $0 | | Maintenance | ($100) | ($1,200) | | Other | $0 | $0 | | Operating Expenses | ($442) | ($5,302) |
| Net Performance | Monthly | Annual |
|---|
| Net Operating Income | $708 | $8,499 | | - Mortgage Payments | ($545) | ($6,535) | | = Cash Flow | $164 | $1,963 | | + Principal Reduction | $108 | $1,292 | | + First-Year Appreciation | $600 | $7,194 | | = Gross Equity Income | $871 | $10,449 | | + Tax Savings | $13 | $155 | | = GEI w/Tax Savings | $884 | $10,604 |
| | Mortgage Info | First | Second |
|---|
| Loan-to-Value Ratio | 80% | 0% | | Loan Amount | $95,920 | $0 | | Monthly Payment | $544.62 | $0.00 | | Loan Type | Amortizing Fixed | | | Term | 30 Years | | | Interest Rate | 5.500% | 0.000% | | Monthly PMI | $0 | |
| Financial Indicators | |
|---|
| Debt Coverage Ratio | 1.30 | | Annual Gross Rent Multiplier | 8 | | Monthly Gross Rent Multiplier | 96 | | Capitalization Rate | 7.1% | | Cash on Cash Return | 6% | | Total Return on Investment | 33% | | + Tax Benefits: Deductions, Depreciation, 1031 Exchange, etc. |
| Assumptions | |
|---|
| Real Estate Appreciation Rate | 6% | | Vacancy Rate | 8% | | Management Fee | 8% | | Maintenance Percentage | 8% |
*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.
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