Chicago Deal Analysis
Let's look at deal analysis for Chicago, IL 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 Chicago, Illinois Rental Property
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Typical 20% Down Payment Chicago, Illinois Rental Property
|
|
Purchase Inputs
|
|
|
Percents
|
Dollars/#
|
|
ARV
|
|
$274,415
|
|
Purchase Price
|
|
$274,415
|
|
Seller Concessions
|
—
|
$0
|
|
Down Payment
|
20.000%
|
$54,883
|
|
Closing Costs
|
1.000%
|
$2,744
|
|
Rent Ready Costs
|
|
$0
|
|
Cumulative Negative Cash Flow
|
|
$0
|
|
Total Invested
|
|
$57,627
|
|
Mortgage
|
|
Mortgage Amount
|
|
$219,532
|
|
Mortgage Interest Rate
|
7.000%
|
|
|
Loan Term
|
|
360
|
|
Private Mortgage Insurance
|
0%
|
$0
|
|
Drop PMI LTV
|
0.000%
|
|
|
Income
|
|
Monthly Rent
|
|
$3,150
$3150.00
|
|
Other Income
|
|
$0
|
|
Annual Expenses
|
|
Vacancy Rate
|
3.000%
|
$1,134
|
|
Property Taxes
|
1.646%
|
$4,517
|
|
Property Insurance
|
0.786%
|
$2,157
|
|
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%
|
$41,162
|
|
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 |
$282,647 |
$291,127 |
$299,861 |
$308,857 |
$318,122 |
| Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Appreciation Dollar |
$8,232 |
$8,479 |
$8,734 |
$8,996 |
$9,266 |
| Monthly Income |
1 |
2 |
3 |
4 |
5 |
| Rent Appreciation Rate |
|
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Rent |
$3,150 |
$3,245 |
$3,342 |
$3,442 |
$3,545 |
| 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 |
$3,150 |
$3,245 |
$3,342 |
$3,442 |
$3,545 |
| Vacancy Percent |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Vacancy Dollar |
$95 |
$97 |
$100 |
$103 |
$106 |
| Monthly Gross Operating Income |
$3,056 |
$3,147 |
$3,242 |
$3,339 |
$3,439 |
| Annual Income |
1 |
2 |
3 |
4 |
5 |
| Annual Rent |
$37,800 |
$38,934 |
$40,102 |
$41,305 |
$42,544 |
| Annual Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Gross Potential Income |
$37,800 |
$38,934 |
$40,102 |
$41,305 |
$42,544 |
| Annual Vacancy Dollar |
$1,134 |
$1,168 |
$1,203 |
$1,239 |
$1,276 |
| Annual Gross Operating Income |
$36,666 |
$37,766 |
$38,899 |
$40,066 |
$41,268 |
| Annual Expenses |
1 |
2 |
3 |
4 |
5 |
| Property Taxes Percent |
1.646% |
1.646% |
1.646% |
1.646% |
1.646% |
| Property Taxes Dollar |
$4,517 |
$4,652 |
$4,792 |
$4,936 |
$5,084 |
| Insurance Percent |
0.786% |
0.786% |
0.786% |
0.786% |
0.786% |
| Insurance Dollar |
$2,157 |
$2,222 |
$2,288 |
$2,357 |
$2,428 |
| 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 |
$3,667 |
$3,777 |
$3,890 |
$4,007 |
$4,127 |
| 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 |
$10,340 |
$10,651 |
$10,970 |
$11,299 |
$11,638 |
| Net Operating Income |
1 |
2 |
3 |
4 |
5 |
| Net Operating Income (NOI) |
$26,326 |
$27,115 |
$27,929 |
$28,767 |
$29,630 |
| Mortgage |
1 |
2 |
3 |
4 |
5 |
| Total Annual P&I Payments |
$17,527 |
$17,527 |
$17,527 |
$17,527 |
$17,527 |
| Principal |
$2,230 |
$2,391 |
$2,564 |
$2,749 |
$2,948 |
| Interest |
$15,297 |
$15,135 |
$14,963 |
$14,777 |
$14,578 |
| Loan Balance at End of Year |
$217,302 |
$214,911 |
$212,347 |
$209,597 |
$206,649 |
| 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 |
$65,345 |
$76,216 |
$87,514 |
$99,259 |
$111,473 |
| Cash Flow |
1 |
2 |
3 |
4 |
5 |
| Annual Cash Flow |
$8,799 |
$9,589 |
$10,402 |
$11,240 |
$12,103 |
| Monhtly Cash Flow |
$733 |
$799 |
$867 |
$937 |
$1,009 |
| Cash on Cash Return on Investment |
0.153% |
0.166% |
0.181% |
0.195% |
0.210% |
| 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 |