Excel Spreadsheet Analysis

2 Replies

I am new to real estate investing... Although, I have had a condo for 4 years I have been renting out and making a pretty decent return. purchased for $97k, now they are selling at +-$150k and I only owe $68k on the property. Cash flows (after debt service) is about $250 a month.

I just purchased another condo similar to it that I will rent out furnished (these are highly desirable in my area). I will see how that works.

Okay, on with the subject... I am interested in looking at duplexes to purchase. I have created an excel spreadsheet that shows a 5 year holding analysis. From what I have been reading, they say to project 5 years out. So I am attaching this spreadsheet to see if somebody can take a look and see if it looks accurate. I want to make sure I have the correct formulas, etc before I start to use it. I have an example in there for a duplex that is for sale in my area I am looking at. The cash flow looks great, but for some reason after 5 years, if I were to sell it, it shows a negative ROI.

So, if somebody doesn't mind checking this thing out, it would be greatly appreciated. Anybody can feel free to use it, of course. 

Thank you in advance!

Dropbox Link

Its a lot of info and its well put together but I think all you did was use the initial purchase price as your initial investment as opposed to just the down payment. ROI = gain from investment - initial investment divided by initial investment. Your investment was your down payment not the whole purchase price.

Okay, I see... so if I change that, it shows an 80% ROI but still shows a LOSS after holding the property for 5 years. (I'm assuming because of the interest paid on the debt).... Still seems a bit odd though... Can't figure out if it's because I'm doing something wrong in the spreadsheet or that's just the way it is lol ...

Updated Spreadsheet

Thank you!

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