Updated over 5 years ago on . Most recent reply
Excel Sheet for Leveraging Properties
Hi BP! Has anyone created an excel sheet that shows the benefits of using leverage to buy more properties? I'm really wanting to compare my current situation vs buying more rentals. I want to see how this would impact my net worth 10-15 years down the road.
For example: I currently have one rental worth $450k with about 5 years and $65k remaining on my loan balance. Obviously, if I keep my current loan, I would have a paid off property in 5 years that rents for $2,500/month.
What if I did a cash-out refi on my current rental and purchased say 4-5 more rental properties? I know there are a ton of variables but I'd like to have a format that allows me to plug in some different numbers. I understand the combination of using leverage and acquiring more properties would help me increase my net worth faster, but I want to see it on paper! I've spent hours in excel making different amortization schedules, etc but I think I end up making it more confusing than it should be. Can anyone help me? Thanks!