Surprise Deal Analysis
Let's look at deal analysis for Surprise, AZ and for 
32 10 20% Down Rental Properties (no Owner-Occupant).
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 20% Down Payment Surprise, Arizona Rental Property
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Typical 20% Down Payment Surprise, Arizona Rental Property
|
|
Purchase Inputs
|
|
|
Percents
|
Dollars/#
|
|
ARV
|
|
$400,968
|
|
Purchase Price
|
|
$400,968
|
|
Seller Concessions
|
—
|
$0
|
|
Down Payment
|
20.000%
|
$80,194
|
|
Closing Costs
|
1.000%
|
$4,010
|
|
Rent Ready Costs
|
|
$0
|
|
Cumulative Negative Cash Flow
|
|
$21,652
|
|
Total Invested
|
|
$105,856
|
|
Mortgage
|
|
Mortgage Amount
|
|
$320,774.40
|
|
Mortgage Interest Rate
|
7.000%
|
|
|
Loan Term
|
|
360
|
|
Private Mortgage Insurance
|
0%
|
$0
|
|
Drop PMI LTV
|
0.000%
|
|
|
Income
|
|
Monthly Rent
|
|
$2,373
$2373.00
|
|
Other Income
|
|
$0
|
|
Annual Expenses
|
|
Vacancy Rate
|
3.000%
|
$854
|
|
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%
|
|
|
CapEx
|
|
$0
|
|
Management
|
0.000%
|
|
|
Depreciation Details
|
|
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 |
$2,373 |
$2,444 |
$2,518 |
$2,593 |
$2,671 |
| 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 |
$2,373 |
$2,444 |
$2,518 |
$2,593 |
$2,671 |
| Vacancy Percent |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Vacancy Dollar |
$71 |
$73 |
$76 |
$78 |
$80 |
| Monthly Gross Operating Income |
$2,302 |
$2,371 |
$2,442 |
$2,515 |
$2,591 |
| Annual Income |
1 |
2 |
3 |
4 |
5 |
| Annual Rent |
$28,476 |
$29,330 |
$30,210 |
$31,116 |
$32,050 |
| Annual Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Gross Potential Income |
$28,476 |
$29,330 |
$30,210 |
$31,116 |
$32,050 |
| Annual Vacancy Dollar |
$854 |
$880 |
$906 |
$933 |
$961 |
| Annual Gross Operating Income |
$27,622 |
$28,450 |
$29,304 |
$30,183 |
$31,088 |
| 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 |
$2,762 |
$2,845 |
$2,930 |
$3,018 |
$3,109 |
| 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 |
$7,065 |
$7,276 |
$7,495 |
$7,720 |
$7,951 |
| Net Operating Income |
1 |
2 |
3 |
4 |
5 |
| Net Operating Income (NOI) |
$20,557 |
$21,174 |
$21,809 |
$22,463 |
$23,137 |
| Mortgage |
1 |
2 |
3 |
4 |
5 |
| Total Annual P&I Payments |
$25,609 |
$25,609 |
$25,609 |
$25,609 |
$25,609 |
| Principal |
$3,258 |
$3,494 |
$3,747 |
$4,017 |
$4,308 |
| Interest |
$22,351 |
$22,115 |
$21,863 |
$21,592 |
$21,302 |
| Loan Balance at End of Year |
$317,516 |
$314,022 |
$310,275 |
$306,258 |
$301,950 |
| Loan-To-Value |
76.881% |
73.820% |
70.815% |
67.862% |
64.959% |
| Private Mortgage Insurance (PMI) Rate |
0.000% |
0.000% |
0.000% |
0.000% |
0.000% |
| Private Mortgage Insurance Dollar |
$0 |
$0 |
$0 |
$0 |
$0 |
| Equity |
1 |
2 |
3 |
4 |
5 |
| ARV - Loan Balance at End of Year |
$95,481 |
$111,365 |
$127,873 |
$145,035 |
$162,882 |
| Cash Flow |
1 |
2 |
3 |
4 |
5 |
| Annual Cash Flow |
-$5,052 |
-$4,436 |
-$3,800 |
-$3,146 |
-$2,472 |
| Monhtly Cash Flow |
-$421 |
-$370 |
-$317 |
-$262 |
-$206 |
| Cash on Cash Return on Investment |
-0.048% |
-0.042% |
-0.036% |
-0.030% |
-0.023% |
| 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 |