$5,295,000
Investment Summary
- Monthly Cash Flow
- -$21,846
- Cap Rate
- 1.3%
- Cash-on-Cash Return
- -21.5%
- Debt Coverage Ratio
- 0.21
- Internal Rate of Return (5 years)
- -16.8%
Cash Flow
Net Operating Income (NOI) minus mortgage payments.
Calculation:
NOI - Mortgage Payments
Cap Rate (Market Value)
Capitalization Rate is a rate of return that compares the yearly Net Operating Income (NOI) to the market value.
Calculation:
NOI / Market Value
Cash-on-Cash Return (CoC)
Annual Cash Flow / Cash Invested
Calculation:
Annual cash flow divided by initial cash invested.
Debt Coverage Ratio (DCR)
Net Operating Income (NOI) divided by total debt payments.
Calculation:
NOI / Total Debt Payments
Internal Rate of Return (IRR)
A metric for assessing profitability over time. IRR is the discount rate at which the net present value (NPV) of all future cash flows (positive and negative) from an investment equals zero — including both periodic cash flow (such as rent) and a projected sale at the end of the holding period. It represents the expected annualized return, accounting for income, expenses, and the recovery of capital through a future sale.
Property Description
Introducing a stunning single level contemporary masterpiece, completed in 2023, gracefully situated in the prestigious enclave of Carefree on Black Mountain. This exquisite residence is nestled on an expansive 1.6-acre mountainside estate, offering mesmerizing views of Black Mountain, the renowned Boulders Resort golf courses, and the picturesque desert landscape beyond. A true architectural marvel, this home epitomizes modern luxury living, meticulously designed with an unwavering commitment to sophistication and detail. As you step inside, you are welcomed by an impressive great room that exudes elegance, featuring soaring 16-foot ceilings, magnificent 30-foot wide glass pocket doors, and a sleek modern fireplace elegantly adorned with porcelain slabs. The floor-to-ceiling 10-foot glass walls frame breathtaking vistas, seamlessly merging the interior with the natural beauty that surrounds it. Culinary enthusiasts will delight in the European-inspired kitchen, a chef's paradise boasting an expansive 15-foot island crafted from luxurious Taj Mahal quartzite, top-of-the-line Miele appliances, and a charming breakfast nook embraced by sliding glass doors that invite the outdoors in. For hosting and entertaining, an additional full prep and catering kitchen awaits. Step outside to discover a magnificent covered patio with soaring 14-foot ceilings, adorned with limestone flooring and a sophisticated misting system, creating an outdoor sanctuary perfect for relaxation and entertainment. The centerpiece of this enchanting outdoor space is the breathtaking custom negative edge pool and spa, offering an idyllic retreat for rejuvenation amidst the stunning backdrop of valley and city lights. Indulge in the sumptuous primary suite, featuring dual custom closets and a spa-like bathroom that rivals the finest retreats, complete with dual water closets, a freestanding tub, opulent marble finishes, and a rejuvenating steam shower. Additional spaces include an expansive office with custom-built bookshelves and a private patio, along with a versatile flex space ideal for a gym, game room, or additional bedroom, providing endless possibilities for personalization. Two generously sized ensuite guest rooms complete the guest wing, ensuring comfort and privacy for visitors. Designed for the modern lifestyle, this exquisite home is equipped with a cutting-edge Creston smart home system, allowing effortless control of lighting, music, HVAC, pool, shades, and security at the touch of a button. A spacious 4-car garage with oversized doors, a well-appointed laundry room featuring double washers and dryers, and a lush turf grass area further enhance the allure and convenience of this remarkable estate. And much more...
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Location
Property Details
Parking
- Description: Dir Entry frm Garage, Electric Door Opener, Extnded Lngth Garage, Golf Cart Garage
- Details: Garage Door Opener, Direct Access, Golf Cart Garage
- Garage Spaces: 5
- Spaces Total: 8
Bedroom Information
- # of Bedrooms: 3
Bathroom Information
- # of Baths (Total): 5.0
Interior Features
- # of Stories: 1
- Fireplace: Yes
Exterior Features
- Exterior Walls Materials: Stucco
- Roof Material: Tile, Foam
- Pool: Yes
Land Information
- Land Use: Residential
- Land Use Subtype: Single Family Residential
Lot Information
- Parcel ID: 21687011
- Lot Size: 67970 sqft
Property Information
- Property Type: Single Family Residence
- Style: Contemporary
- Year Built: 2023
Tax Information
- Annual Tax: $6,602
Utilities
- Water & Sewer: Public
- Heating: ENERGY STAR Qualified Equipment, Natural Gas, Ceiling
- Cooling: Central Air, ENERGY STAR Qualified Equipment
Location
- County: Maricopa
Listing Details
Investment Summary
- Monthly Cash Flow
- -$21,846
- Cap Rate
- 1.3%
- Cash-on-Cash Return
- -21.5%
- Debt Coverage Ratio
- 0.21
- Internal Rate of Return (5 years)
- -16.8%
Cash Flow
Net Operating Income (NOI) minus mortgage payments.
Calculation:
NOI - Mortgage Payments
Cap Rate (Market Value)
Capitalization Rate is a rate of return that compares the yearly Net Operating Income (NOI) to the market value.
Calculation:
NOI / Market Value
Cash-on-Cash Return (CoC)
Annual Cash Flow / Cash Invested
Calculation:
Annual cash flow divided by initial cash invested.
Debt Coverage Ratio (DCR)
Net Operating Income (NOI) divided by total debt payments.
Calculation:
NOI / Total Debt Payments
Internal Rate of Return (IRR)
A metric for assessing profitability over time. IRR is the discount rate at which the net present value (NPV) of all future cash flows (positive and negative) from an investment equals zero — including both periodic cash flow (such as rent) and a projected sale at the end of the holding period. It represents the expected annualized return, accounting for income, expenses, and the recovery of capital through a future sale.
Purchase Details
Purchase PriceThe price paid for the property. Purchase price:
| $5,295,000 |
|---|---|
Amount FinancedThe amount of the purchase financed through a loan. Amount financed:
| -$4,236,000 |
Down paymentThe initial payment made towards the purchase. Down payment:
| $1,059,000 |
Closing CostsFees and expenses associated with purchasing a property, typically ranging from 2% to 5% of the home’s purchase price, paid at the end of a home purchase to cover services like lending, title transfer, and taxes. Closing costs:
| $158,850 |
Rehab CostsCosts incurred to repair or improve the property, including: roof, flooring, exterior siding, kitchen, exterior paint, bathrooms, etc. Rehab costs:
| $0 |
Initial Cash InvestedThe total initial cash invested in the property. Calculation:Down payment + Buying costs + Rehab costs Initial cash invested:
| $1,217,850 |
Square Feet (SQFT)The total square footage of the property. Square feet:
| 6,500 |
Cost Per Square FootCost per square foot of the property. Calculation:Purchase Price / Square Feet Cost per square foot:
| $815 |
Monthly Rent Per Square FootMonthly rent divided by the number of square feet. This ratio helps investors compare rental income efficiency across properties, markets, and unit sizes Calculation:Monthly Rent / Square Feet Monthly rent per square foot:
| $1.42 |
Financing Details
Loan AmountThe total sum of money borrowed from a lender to finance a property purchase. Calculation:Purchase Price - Down Payment
Loan amount:
| $4,236,000 |
|---|---|
Loan to Value Ratio (LTV)Loan amount divided by the market value of the property. Calculation:Loan Amount / Market Value
Loan to value ratio:
| 80.0% |
Loan TypeThe type of loan (e.g., fixed, adjustable).
Loan type:
| Amortizing |
TermThe loan repayment period in years.
Term:
| 30 years |
Interest RateThe percentage a lender charges on the borrowed amount of a loan, determining the cost of borrowing money.
Interest rate:
| 6.810% |
Principal & Interest (PI)The principal is the portion of the loan payment that reduces the loan balance. The interest is the lender's charge for borrowing money. Calculation:(P * r * (1 + r) ** n) / ((1 + r) ** n - 1) Where:
P = Loan amount (principal)
Principal & interest:
| $27,644 |
Property TaxesAnnual taxes levied by local governments on real estate properties. These taxes fund public services like schools, roads, and emergency services.
Property tax:
| $550 |
InsuranceThe costs for insurance coverage to protect against financial losses due to risks like fire, natural disasters, theft, liability, or tenant-related damages. Calculation:Assumes 7% of gross rental income, unless insurance rates are specified.
Insurance:
| $644 |
Private Mortgage Insurance (PMI)A fee that borrowers pay when they take out a conventional loan with a loan-to-value (LTV) ratio above 80%.
Private mortgage insurance (PMI):
| $0 |
Monthly PaymentThe fixed amount a borrower pays each month to repay a loan. It typically includes principal and interest (P&I) and may also cover property taxes, insurance, HOA fees, and PMI if escrowed. Monthly payment:
| $28,838 |
Operating Income
| % Rent | Monthly | Yearly | |
|---|---|---|---|
Gross RentThe total rental income received from tenants before deducting any expenses. Includes base rent, late fees, pet fees, parking fees, and other recurring charges.
Gross rent:
| $9,200 | $110,400 | |
Vacancy LossExpected loss of rent due to vacancies.
Vacancy loss:
(6%)
| 6% | -$552 | -$6,624 |
Operating IncomeGross rental income minus vacancy loss. Calculation:Gross rent - Vacancy loss
Operating income:
| $8,648 | $103,776 |
Operating Expenses
| % Rent | Monthly | Yearly | |
|---|---|---|---|
Property TaxesAnnual taxes levied by local governments on real estate properties. These taxes fund public services like schools, roads, and emergency services. | 6% | -$550 | -$6,602 |
InsuranceThe costs for insurance coverage to protect against financial losses due to risks like fire, natural disasters, theft, liability, or tenant-related damages. Calculation:Assumes 7% of gross rental income, unless insurance rates are specified. | 7% | -$644 | -$7,728 |
Property ManagementThe costs associated with hiring a property manager to handle the day-to-day operations of a rental property. Includes management fees, leasing fes, eviction fees, etc. Calculation:Assumes 8% of gross rental income. | 8% | -$736 | -$8,832 |
Repairs & MaintenanceOngoing costs for routine upkeep and minor fixes needed to keep a property in good working condition. Calculation:Assumes 5% of gross rental income. Varies by property age and condition. | 5% | -$460 | -$5,520 |
Capital ExpensesLarge, infrequent costs for major improvements or replacements, like a new roof, HVAC system, or appliances. Calculation:Assumes 5% of gross rental income. Varies by property age. | 5% | -$460 | -$5,520 |
HOA FeesRegular dues paid to a Homeowners Association for community maintenance, amenities, and management. Similar fees include: Condo Association Fees, Co-op Maintenance Fees, etc. | n/a | n/a | n/a |
Operating ExpensesRecurring costs required to maintain and manage a rental property, including property taxes, insurance, maintenance, repairs, utilities (if paid by the owner), property management fees, and other day-to-day expenses. Calculation:Insurance + Property Taxes + Property Management + Repairs & Maintenance + Capital Expenditures + HOA Fees | 31% | -$2,850 | -$34,202 |
Cash Flow
| Monthly | Yearly | |
|---|---|---|
Net Operating Income (NOI)The income generated from a property after deducting all operating expenses but before deducting mortgage payments, taxes, and capital expenditures. Calculation:Gross Operating Income - Operating Expenses
Net operating income:
| $5,798 | $69,576 |
Mortgage PaymentThe fixed amount a borrower pays each month to repay a loan. It typically includes principal and interest (P&I) and may also cover property taxes, insurance, HOA fees, and PMI if escrowed. | -$27,644 | -$331,728 |
Cash FlowNet Operating Income (NOI) minus mortgage payments. Calculation:NOI - Mortgage Payments | $21,846 | $262,152 |