Lowell Deal Analysis
Let's look at deal analysis for Lowell, MA 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 Lowell, Massachusetts Rental Property
|
Typical 20% Down Payment Lowell, Massachusetts Rental Property
|
|
Purchase Inputs
|
|
|
Percents
|
Dollars/#
|
|
ARV
|
|
$407,293
|
|
Purchase Price
|
|
$407,293
|
|
Seller Concessions
|
—
|
$0
|
|
Down Payment
|
20.000%
|
$81,459
|
|
Closing Costs
|
1.000%
|
$4,073
|
|
Rent Ready Costs
|
|
$0
|
|
Cumulative Negative Cash Flow
|
|
$54,476
|
|
Total Invested
|
|
$140,008
|
|
Mortgage
|
|
Mortgage Amount
|
|
$325,834.40
|
|
Mortgage Interest Rate
|
7.000%
|
|
|
Loan Term
|
|
360
|
|
Private Mortgage Insurance
|
0%
|
$0
|
|
Drop PMI LTV
|
0.000%
|
|
|
Income
|
|
Monthly Rent
|
|
$2,363
$2362.50
|
|
Other Income
|
|
$0
|
|
Annual Expenses
|
|
Vacancy Rate
|
3.000%
|
$851
|
|
Property Taxes
|
1.313%
|
$5,348
|
|
Property Insurance
|
0.314%
|
$1,279
|
|
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%
|
$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 |
$2,363 |
$2,433 |
$2,506 |
$2,582 |
$2,659 |
| 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 |
$2,363 |
$2,433 |
$2,506 |
$2,582 |
$2,659 |
| Vacancy Percent |
3.000% |
3.000% |
3.000% |
3.000% |
3.000% |
| Monthly Vacancy Dollar |
$71 |
$73 |
$75 |
$77 |
$80 |
| Monthly Gross Operating Income |
$2,292 |
$2,360 |
$2,431 |
$2,504 |
$2,579 |
| Annual Income |
1 |
2 |
3 |
4 |
5 |
| Annual Rent |
$28,350 |
$29,201 |
$30,077 |
$30,979 |
$31,908 |
| Annual Other Income |
$0 |
$0 |
$0 |
$0 |
$0 |
| Annual Gross Potential Income |
$28,350 |
$29,201 |
$30,077 |
$30,979 |
$31,908 |
| Annual Vacancy Dollar |
$851 |
$876 |
$902 |
$929 |
$957 |
| Annual Gross Operating Income |
$27,500 |
$28,324 |
$29,174 |
$30,049 |
$30,951 |
| 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 |
$2,750 |
$2,832 |
$2,917 |
$3,005 |
$3,095 |
| 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 |
$9,377 |
$9,658 |
$9,948 |
$10,246 |
$10,553 |
| Net Operating Income |
1 |
2 |
3 |
4 |
5 |
| Net Operating Income (NOI) |
$18,123 |
$18,667 |
$19,227 |
$19,803 |
$20,397 |
| Mortgage |
1 |
2 |
3 |
4 |
5 |
| Total Annual P&I Payments |
$26,013 |
$26,013 |
$26,013 |
$26,013 |
$26,013 |
| Principal |
$3,310 |
$3,549 |
$3,806 |
$4,081 |
$4,376 |
| Interest |
$22,704 |
$22,464 |
$22,208 |
$21,933 |
$21,638 |
| Loan Balance at End of Year |
$322,525 |
$318,976 |
$315,170 |
$311,089 |
$306,713 |
| 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 |
$96,987 |
$113,122 |
$129,890 |
$147,323 |
$165,451 |
| Cash Flow |
1 |
2 |
3 |
4 |
5 |
| Annual Cash Flow |
-$7,890 |
-$7,347 |
-$6,787 |
-$6,210 |
-$5,616 |
| Monhtly Cash Flow |
-$658 |
-$612 |
-$566 |
-$517 |
-$468 |
| Cash on Cash Return on Investment |
-0.056% |
-0.052% |
-0.048% |
-0.044% |
-0.040% |
| 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 |