Updated almost 11 years ago on . Most recent reply
Buy and Hold Multi Apartment Deal Analysis
What do you think about this deal???
what is this properties value 1.5M???
The properties is class C and neighborhood class B
Total building square footage: 48,513 sq ft, built in 1947
| Listing Price | $1,800,582.5 | 0.095 |
| OPERATE INCOME | Annual | % |
| RENTAL UNIT INCOME | $363,504 | 0.05 |
| Vacancy 5% | $18,175 | |
| GROSS OPERATING INCOME | $345,329 | |
| OPERATING EXPENSES | ||
| Advertisin | $272 | |
| Trash Removal | $1,320 | |
| Management 8% | $29,080.32 | 0.08 |
| Supply | $16,611 | |
| Landscaping/Snow Removal | $1,866 | |
| Replace/Repairs/Supplies/Maintenance % | $30,825.14 | 0.0848 |
| Water/Sewer | $19,214 | |
| Utility House Gas/Electric | $10,924 | |
| Real Estate Taxes | $54,100 | |
| Insurance | $10,061 | |
| TOTAL EXPENSES | $174,273 | |
| NET OPERATING INCOME | $171,055 | |
| LOAN WITH 20% DOWN | $360,000 | $1,800,000 |
| DEBT SERVICE (1) | ($97,524.99) | 0.2 |
| DSCR | $1.75 | |
| CASH FLOW | $73,531 | |
| CASH ON CASH RETURN | 20% |
I add 5% for Capital expenditure
and vacancy rate to 10%, now the Price about 1.5M
| VALUE | $1,494,473.9 | 0.095 |
| OPERATE INCOME | Annual | % |
| RENTAL UNIT INCOME | $363,504 | 0.08 |
| Vacancy 10% | $29,080 | |
| GROSS OPERATING INCOME | $334,424 | |
| OPERATING EXPENSES | ||
| Advertising | $272 | |
| Trash Removal | $1,320 | |
| Management 8% | $29,080.32 | 0.08 |
| Supply | $16,611 | |
| Landscaping/Snow Removal | $1,866 | |
| Cleaning/Maintenance | ||
| Repairs/Supplies/Maintenance % | $30,825.14 | 0.0848 |
| Water/Sewer | $19,214 | |
| Utility House Gas/Electric | $10,924 | |
| Real Estate Taxes | $54,100 | |
| Insurance | $10,061 | |
| Reserves/Replacement 5% | $18,175 | 0.05 |
| TOTAL EXPENSES | $192,449 | |
| NET OPERATING INCOME | $141,975 | |
| LOAN WITH 20% DOWN | $300,000 | $1,500,000 |
| DEBT SERVICE (1) | ($81,270.82) | 0.2 |
| DSCR | $1.75 | |
| CASH FLOW | $60,705 | |
| CASH ON CASH RETURN | 20% |
Thanks
Long Khang