$2,500,000
Investment Summary
- Monthly Cash Flow
- -$7,034
- Cap Rate
- 2.3%
- Cash-on-Cash Return
- -14.7%
- Debt Coverage Ratio
- 0.41
- Internal Rate of Return (5 years)
- -10.2%
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
Nestled within the highly coveted, gated enclave of Rosewood Estates—one of Northeast Mesa's most prestigious addresses—this extraordinary estate is a rare gem for the discerning buyer seeking the ultimate in luxury, comfort, and functionality. Spanning nearly 7,000 square feet of thoughtfully curated living space, this bespoke residence offers a harmonious blend of timeless sophistication and modern indulgence. From the moment you arrive, this estate captivates with impeccable curb appeal, a beautifully manicured front yard, and a tranquil water fountain leading to a grand entrance framed by a custom arched wood door with side glass panels. Inside, soaring ceilings, hand-scraped hardwood flooring, and intricate architectural details immediately elevate the ambiance, setting the tone for the superior craftsmanship found throughout. Designed with both refined living and grand entertaining in mind, the open-concept floor plan is flooded with natural light from expansive picture windows, seamlessly blending elegance and warmth. At the heart of the home lies a gourmet chef's kitchen, meticulously appointed with top-of-the-line stainless steel appliances, a professional-grade gas range, double wall ovens, built-in refrigerator and freezer, ice machine, granite countertops, and custom cabinetry with ambient lighting. A massive walk-in pantry adds both convenience and style to this entertainer's dream. The estate boasts five generously sized bedrooms, including dual master suites. The main master retreat features a cozy gas fireplace, a private courtyard, and a spa-inspired bathroom adorned in travertine stone with a soaking tub, custom double vanities, and a massive walk-in closet. The secondary master suitecurrently configured as a designer craft roomoffers custom built-ins and an island workstation. Additional bedrooms include a Jack-and-Jill setup, while the fifth bedroom is outfitted as a sophisticated home office with custom cabinetry and walk-in closet. Upstairs, you'll find a spacious game room and a private home theatre, complete with two tiers of seatingideal for cinematic experiences from the comfort of home. Outdoors, the resort-caliber backyard invites endless entertainment with a custom heated 11-foot diving pool and elevated spa, framed by travertine decking and a serene rock waterfall feature. Host unforgettable gatherings beneath the expansive ramada, featuring a BBQ, tv and multiple lounge areas. Accessible through a private commercial rated automatic entry gatecar enthusiasts and adventurers alike will appreciate the oversized 42-foot detached RV garage, with an extra-tall automatic door and an additional extended height automatic door, in addition to the attached three-car garage with 3 ton minisplit HVAC unit and extensive parking behind the side RV gate. Additional premium features include a central vacuum system, whole-home security system, custom built-in entertainment center, and two gas fireplaces. Residents of Rosewood Estates enjoy exclusive access to private pickleball, tennis, and basketball courts, all within a serene, tree-lined community of just 23 custom homes on expansive lots. Located in Mesa's renowned Citrus Corridor, this estate offers unmatched proximity to top-rated schools, premier golf courses, hiking and biking trails, upscale shopping, fine dining, and is only 20 minutes from both Sky Harbor Airport and Scottsdale.
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Location
Property Details
Parking
- Description: Electric Door Opener, Extnded Lngth Garage, RV Gate, Side Vehicle Entry, RV Access/Parking, RV Garage
- Details: RV Access/Parking, Gated, Garage Door Opener, RV Garage, Garage Faces Side
- Garage Spaces: 7
- Spaces Total: 7
Bedroom Information
- # of Bedrooms: 5
Bathroom Information
- # of Baths (Total): 4.0
Interior Features
- # of Stories: 2
- Fireplace: Yes
Exterior Features
- Exterior Walls Materials: Wood
- Roof Material: Tile, Concrete
- Pool: Yes
- Solar Panels: Yes
HOA
- Has HOA: Yes
- Association: Rosewood Estates
- HOA Fee: $675/quarterly
Land Information
- Land Use: Residential
- Land Use Subtype: Single Family Residential
Lot Information
- Parcel ID: 14127063
- Lot Size: 32449 sqft
Property Information
- Property Type: Single Family Residence
- Year Built: 2000
Tax Information
- Annual Tax: $11,777
Utilities
- Water & Sewer: Public
- Heating: Natural Gas
- Cooling: Central Air, Ceiling Fan(s)
Location
- County: Maricopa
Listing Details
Investment Summary
- Monthly Cash Flow
- -$7,034
- Cap Rate
- 2.3%
- Cash-on-Cash Return
- -14.7%
- Debt Coverage Ratio
- 0.41
- Internal Rate of Return (5 years)
- -10.2%
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:
| $2,500,000 |
|---|---|
Amount FinancedThe amount of the purchase financed through a loan. Amount financed:
| -$2,000,000 |
Down paymentThe initial payment made towards the purchase. Down payment:
| $500,000 |
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:
| $75,000 |
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:
| $575,000 |
Square Feet (SQFT)The total square footage of the property. Square feet:
| 6,926 |
Cost Per Square FootCost per square foot of the property. Calculation:Purchase Price / Square Feet Cost per square foot:
| $361 |
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:
| $1.26 |
Financing Details
Loan AmountThe total sum of money borrowed from a lender to finance a property purchase. Calculation:Purchase Price - Down Payment
Loan amount:
| $2,000,000 |
|---|---|
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:
| 5.875% |
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:
| $11,831 |
Property TaxesAnnual taxes levied by local governments on real estate properties. These taxes fund public services like schools, roads, and emergency services.
Property tax:
| $981 |
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:
| $609 |
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:
| $13,421 |
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:
| $8,700 | $104,400 | |
Vacancy LossExpected loss of rent due to vacancies.
Vacancy loss:
(6%)
| 6% | -$522 | -$6,264 |
Operating IncomeGross rental income minus vacancy loss. Calculation:Gross rent - Vacancy loss
Operating income:
| $8,178 | $98,136 |
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. | 11% | -$981 | -$11,777 |
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% | -$609 | -$7,308 |
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% | -$696 | -$8,352 |
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% | -$435 | -$5,220 |
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% | -$435 | -$5,220 |
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. | 3% | -$225 | -$2,700 |
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 | 39% | -$3,381 | -$40,577 |
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:
| $4,797 | $57,564 |
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. | -$11,831 | -$141,972 |
Cash FlowNet Operating Income (NOI) minus mortgage payments. Calculation:NOI - Mortgage Payments | $7,034 | $84,408 |