Shepherd,TX, $850 existing + $1k potential rent! 69% cash-on-cash

[Lance Langenhoven]

This is a great deal for someone.... has a single-family home on it that could lease for probably $1,000 per month. However, comes with a separate mobile home that is currently leased out for $850 per month!!!

$10,200 = $850 x 12 => current rent for mobile home

$12,000 = $1,000 x 12 => potential rent for single-family home (just remodeled)

$22,200 = Total Potential Rent 

- $1,650 - Property Tax 2017 

- $1,350 - Estimated Building Insurance

- $2,000 - Estimated annual maintenance 

- $5,000 = Total Expenses (approx. $416.67 per month)

$17,200 = Projected Net Operating Income

$135,000 = Asking Price

12.74% = Cap Rate. 

A 12.74% cap rate is an incredible deal!!!!! 

If this was purchased with a 10% down the numbers would break down as follows:

$13,500 = 10% deposit

$121,500 = Amount Financed

5% = Interest Rate for Investment Property

30 years = amortization period for residential deal

$652.23 = monthly mortgage payment

$416.67 = average monthly NNN expenses

$1,068.90 = Total Monthly Ownership cost

So, monthly mobile home rent pretty much covers the majority. If the home was leased out for $1,000 per month this property would cash flow about $781.10 per month. 

That's $9,373.20 per year or a cash-on-cash return of 69.4% !!!!!

Based on these numbers this deal will probably go fairly quick. So, if you're interested... please call my colleague, Ricardo (Rico), at the following number: 832-656 4526 to get more info & to put in an offer. Tks.

B. Regards,

Lance. 

832-483 8655. 

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