Updated over 2 years ago on . Most recent reply
Looking for thoughts on a deal I am working on.
Hi All, I am looking for some thoughts on a deal I am working on. The property is a 6 unit building with 4 living units and 2 commercial units. Below is the input from my spreadsheet. Taxes are from the assessors website, insurance is a monthly estimate. 2nd is seller financing interest only for 5 years. Let me know what you think. Thanks!
| Price | $ 1,000,000.00 | |
| Down | $ 100,000.00 | |
| 1st | $ 500,000.00 | |
| Payment | 4,113.38 | |
| Rate | 9.25% | |
| 2nd | $ 400,000.00 | |
| rate | 1% | |
| 2nd Payment | 333.33 | |
| total PI | $ 4,446.71 | |
| Taxes | $ 2,500.00 | |
| Insurance | $ 375.00 | |
| Total PITI | $ 4,686.29 | |
| Monthly rents | $ 7,200 | |
| Rents | $ 86,400.00 | |
| Monthly spread | $ 2,513.71 | |
| Yearly Spread | $ 30,164.48 | Monthly Costs and profit/loss |
| $ 4,686.29 - costs | ||
| Yearly PM | $ 8,640.00 | $ 720.00 - costs |
| Yearly Vac. | $ 4,320.00 | $ 360.00 - costs |
| Yearly Repairs | $ 4,320.00 | $ 360.00 - costs |
| Yearly profit | $ 12,884.48 | $ 1,073.71- monthly profit |
| NOI | $ 69,120.00 | |
| debt | $ 56,235.52 | |
| Total costs M | $ 5,766.29 | |
| Total costs Y | $ 69,195.52 | |
| COC return | 12.88% | |
| Cap | 6.91% | |
| DSCR | 1.23 |