Lowell Deal Analysis
Let's look at deal analysis for Lowell, MA 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 Lowell, Massachusetts Nomad™ Property with 10% Higher Rents
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Typical Lowell, Massachusetts Nomad™ Property with 10% Higher Rents
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Purchase Inputs
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|
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Percents
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Dollars/#
|
|
ARV
|
|
$407,293
|
|
Purchase Price
|
|
$407,293
|
|
Seller Concessions
|
—
|
$0
|
|
Down Payment
|
5.000%
|
$20,365
|
|
Closing Costs
|
1.000%
|
$4,073
|
|
Rent Ready Costs
|
|
$0
|
|
Cumulative Negative Cash Flow
|
|
$71,958
|
|
Total Invested
|
|
$96,396
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|
Mortgage
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|
Mortgage Amount
|
|
$386,928.35
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|
Mortgage Interest Rate
|
6.500%
|
|
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Loan Term
|
|
360
|
|
Private Mortgage Insurance
|
0.850%
|
$274.07
|
|
Drop PMI LTV
|
80.000%
|
|
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Income
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|
Monthly Rent
|
|
$2,599
$2598.75
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Other Income
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|
$0
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|
Annual Expenses
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Vacancy Rate
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3.000%
|
$936
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Property Taxes
|
1.313%
|
$5,348
|
|
Property Insurance
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0.314%
|
$1,279
|
|
HOA Dues
|
|
$0
|
|
Utilities
|
|
$0
|
|
Other Expenses 1
|
|
$0
|
|
Other Expenses 2
|
|
$0
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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%
|
$61,094
|
|
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 |
$419,512 |
$432,097 |
$445,060 |
$458,412 |
$472,164 |
| Appreciation Rate |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Appreciation Dollar |
$12,219 |
$12,585 |
$12,963 |
$13,352 |
$13,752 |
| Monthly Income |
1 |
2 |
3 |
4 |
5 |
| Rent Appreciation Rate |
|
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Rent |
$2,599 |
$2,677 |
$2,757 |
$2,840 |
$2,925 |
| 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 |
$2,599 |
$2,677 |
$2,757 |
$2,840 |
$2,925 |
| Vacancy Percent |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Vacancy Dollar |
$78 |
$80 |
$83 |
$85 |
$88 |
| Monthly Gross Operating Income |
$2,521 |
$2,596 |
$2,674 |
$2,755 |
$2,837 |
| Annual Income |
1 |
2 |
3 |
4 |
5 |
| Annual Rent |
$31,185 |
$32,121 |
$33,084 |
$34,077 |
$35,099 |
| Annual Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Gross Potential Income |
$31,185 |
$32,121 |
$33,084 |
$34,077 |
$35,099 |
| Annual Vacancy Dollar |
$936 |
$964 |
$993 |
$1,022 |
$1,053 |
| Annual Gross Operating Income |
$30,249 |
$31,157 |
$32,092 |
$33,054 |
$34,046 |
| Annual Expenses |
1 |
2 |
3 |
4 |
5 |
| Property Taxes Percent |
1.313% |
1.313% |
1.313% |
1.313% |
1.313% |
| Property Taxes Dollar |
$5,348 |
$5,508 |
$5,673 |
$5,844 |
$6,019 |
| Insurance Percent |
0.314% |
0.314% |
0.314% |
0.314% |
0.314% |
| Insurance Dollar |
$1,279 |
$1,317 |
$1,357 |
$1,397 |
$1,439 |
| 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 |
$3,025 |
$3,116 |
$3,209 |
$3,305 |
$3,405 |
| 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 |
$9,652 |
$9,941 |
$10,239 |
$10,547 |
$10,863 |
| Net Operating Income |
1 |
2 |
3 |
4 |
5 |
| Net Operating Income (NOI) |
$20,598 |
$21,216 |
$21,852 |
$22,508 |
$23,183 |
| Mortgage |
1 |
2 |
3 |
4 |
5 |
| Total Annual P&I Payments |
$29,348 |
$29,348 |
$29,348 |
$29,348 |
$29,348 |
| Principal |
$4,325 |
$4,614 |
$4,923 |
$5,253 |
$5,605 |
| Interest |
$25,023 |
$24,733 |
$24,424 |
$24,095 |
$23,743 |
| Loan Balance at End of Year |
$382,604 |
$377,989 |
$373,066 |
$367,812 |
$362,207 |
| 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 |
$3,289 |
$3,289 |
$3,289 |
$3,289 |
$0 |
| Equity |
1 |
2 |
3 |
4 |
5 |
| ARV - Loan Balance at End of Year |
$36,908 |
$54,108 |
$71,994 |
$90,599 |
$109,957 |
| Cash Flow |
1 |
2 |
3 |
4 |
5 |
| Annual Cash Flow |
-$12,039 |
-$11,421 |
-$10,784 |
-$10,129 |
-$6,165 |
| Monhtly Cash Flow |
-$1,003 |
-$952 |
-$899 |
-$844 |
-$514 |
| Cash on Cash Return on Investment |
-0.125% |
-0.118% |
-0.112% |
-0.105% |
-0.064% |
| 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 |