Surprise Deal Analysis
Let's look at deal analysis for Surprise, AZ and for 
15 Buy 10 Nomads™ with 10% Higher Rents.
The analysis is based on The World's Greatest Real Estate Deal Analysis Spreadsheet™ (shown above)... a free spreadsheet download you can use to analyze your own deals.
Typical Surprise, Arizona Nomad™ Property with 10% Higher Rents
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Typical Surprise, Arizona Nomad™ Property with 10% Higher Rents
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Purchase Inputs
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|
|
Percents
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Dollars/#
|
|
ARV
|
|
$400,968
|
|
Purchase Price
|
|
$400,968
|
|
Seller Concessions
|
—
|
$0
|
|
Down Payment
|
5.000%
|
$20,048
|
|
Closing Costs
|
1.000%
|
$4,010
|
|
Rent Ready Costs
|
|
$0
|
|
Cumulative Negative Cash Flow
|
|
$38,380
|
|
Total Invested
|
|
$62,438
|
|
Mortgage
|
|
Mortgage Amount
|
|
$380,919.60
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|
Mortgage Interest Rate
|
6.500%
|
|
|
Loan Term
|
|
360
|
|
Private Mortgage Insurance
|
0.850%
|
$269.82
|
|
Drop PMI LTV
|
80.000%
|
|
|
Income
|
|
Monthly Rent
|
|
$2,610
$2610.30
|
|
Other Income
|
|
$0
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|
Annual Expenses
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Vacancy Rate
|
3.000%
|
$940
|
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Property Taxes
|
0.631%
|
$2,530
|
|
Property Insurance
|
0.442%
|
$1,772
|
|
HOA Dues
|
|
$0
|
|
Utilities
|
|
$0
|
|
Other Expenses 1
|
|
$0
|
|
Other Expenses 2
|
|
$0
|
|
Maintenance
|
10.000%
|
|
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CapEx
|
|
$0
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|
Management
|
0.000%
|
|
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Depreciation Details
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|
Land Value
|
15.000%
|
$60,145
|
|
Property Type (C or R)
|
R
|
27.5
|
|
Effective Income Tax Rate
|
15.000%
|
|
| Property Value |
1 |
2 |
3 |
4 |
5 |
| ARV at End of Year |
$412,997 |
$425,387 |
$438,149 |
$451,293 |
$464,832 |
| Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Appreciation Dollar |
$12,029 |
$12,390 |
$12,762 |
$13,144 |
$13,539 |
| Monthly Income |
1 |
2 |
3 |
4 |
5 |
| Rent Appreciation Rate |
|
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Rent |
$2,610 |
$2,689 |
$2,769 |
$2,852 |
$2,938 |
| Monthly Other Income Appreciation Rate |
|
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Monthly Gross Potential Income |
$2,610 |
$2,689 |
$2,769 |
$2,852 |
$2,938 |
| Vacancy Percent |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Vacancy Dollar |
$78 |
$81 |
$83 |
$86 |
$88 |
| Monthly Gross Operating Income |
$2,532 |
$2,608 |
$2,686 |
$2,767 |
$2,850 |
| Annual Income |
1 |
2 |
3 |
4 |
5 |
| Annual Rent |
$31,324 |
$32,263 |
$33,231 |
$34,228 |
$35,255 |
| Annual Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Gross Potential Income |
$31,324 |
$32,263 |
$33,231 |
$34,228 |
$35,255 |
| Annual Vacancy Dollar |
$940 |
$968 |
$997 |
$1,027 |
$1,058 |
| Annual Gross Operating Income |
$30,384 |
$31,295 |
$32,234 |
$33,201 |
$34,197 |
| Annual Expenses |
1 |
2 |
3 |
4 |
5 |
| Property Taxes Percent |
0.631% |
0.631% |
0.631% |
0.631% |
0.631% |
| Property Taxes Dollar |
$2,530 |
$2,606 |
$2,684 |
$2,765 |
$2,848 |
| Insurance Percent |
0.442% |
0.442% |
0.442% |
0.442% |
0.442% |
| Insurance Dollar |
$1,772 |
$1,825 |
$1,880 |
$1,937 |
$1,995 |
| HOA Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| HOA Dues Dollar |
$0 |
$0 |
$0 |
$0 |
$0 |
| Utilities Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Utilities Dollar |
$0 |
$0 |
$0 |
$0 |
$0 |
| Other Expense 1 Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Other Expense 1 Dollar |
$0 |
$0 |
$0 |
$0 |
$0 |
| Other Expense 2 Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Other Expense 2 Dollar |
$0 |
$0 |
$0 |
$0 |
$0 |
| Maintenance Percent |
10.000% |
10.000% |
10.000% |
10.000% |
10.000% |
| Maintenance Dollar |
$3,038 |
$3,130 |
$3,223 |
$3,320 |
$3,420 |
| CapEx Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| CapEx Dollar |
$0 |
$0 |
$0 |
$0 |
$0 |
| Property Management Percent |
0.000% |
0.000% |
0.000% |
0.000% |
0.000% |
| Property Management Dollar |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Operating Expenses |
$7,341 |
$7,561 |
$7,788 |
$8,021 |
$8,262 |
| Net Operating Income |
1 |
2 |
3 |
4 |
5 |
| Net Operating Income (NOI) |
$23,043 |
$23,734 |
$24,446 |
$25,180 |
$25,935 |
| Mortgage |
1 |
2 |
3 |
4 |
5 |
| Total Annual P&I Payments |
$28,892 |
$28,892 |
$28,892 |
$28,892 |
$28,892 |
| Principal |
$4,258 |
$4,543 |
$4,847 |
$5,172 |
$5,518 |
| Interest |
$24,634 |
$24,349 |
$24,045 |
$23,720 |
$23,374 |
| Loan Balance at End of Year |
$376,662 |
$372,119 |
$367,272 |
$362,101 |
$356,583 |
| Loan-To-Value |
91.202% |
87.478% |
83.824% |
80.236% |
76.712% |
| Private Mortgage Insurance (PMI) Rate |
0.850% |
0.850% |
0.850% |
0.850% |
|
| Private Mortgage Insurance Dollar |
$3,238 |
$3,238 |
$3,238 |
$3,238 |
$0 |
| Equity |
1 |
2 |
3 |
4 |
5 |
| ARV - Loan Balance at End of Year |
$36,335 |
$53,268 |
$70,876 |
$89,192 |
$108,249 |
| Cash Flow |
1 |
2 |
3 |
4 |
5 |
| Annual Cash Flow |
-$9,087 |
-$8,395 |
-$7,683 |
-$6,950 |
-$2,957 |
| Monhtly Cash Flow |
-$757 |
-$700 |
-$640 |
-$579 |
-$246 |
| Cash on Cash Return on Investment |
-0.146% |
-0.134% |
-0.123% |
-0.111% |
-0.047% |
| Cap Rate |
|
|
|
|
|
| DSCR |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
| Negative Cash Flow |
$0 |
$0 |
$0 |
$0 |
$0 |
| Cumulative Negative Cash Flow |
$0 |
$0 |
$0 |
$0 |
$0 |