Teleseminar: Real Estate Investing Basic
- Fundamental elements of real estate investing
- What makes real estate investing so special
- Excellent explanation for beginners and a good reminder for experienced investors (more…)
Teleseminar: Real Estate Investing Basic
Download Recording File – Part One (MP3)
Download Recording File – Part Two (MP3)
Recorded . Wed. 7/6/11 6:30 PM PST {9:30 PM ET}
Download Recording File (MP3)
Category: Rental Property
Disclaimer
This tool is provided “As Is”. All information is believed to be accurate, but not guaranteed. It is intended for the purpose of illustrative projections.
The information provided is not intended to replace or substitute any legal, accounting, investment, real estate, tax or other professional advice, consultation or service. The author of this tool is not responsible nor liable for any damages arising from the use of the tool.
| Name | 13649 N 36th Ave Phoenix |
| Address | 13649 N 36th Ave, Phoenix |
| Type | Singlefamily |
| Size | 1396 SF |
| Rooms | 3 bed. + 2 bath. |
| Purchase Price | $ 78,000 |
| Rent | $ 950/month |
| Purchase Price | $ 78,000 |
| Down Payment | $ 15,600 |
| Mortgage (30yr @ 5.50%) | $ 62,400 |
| Loan-to-Value (LTV) | 80.00 % |
| Closing Costs | $ 2,500 |
| Total Aquisition Cost | $ 82,000 |
| Gross Operating Income (GOI) | $ 10,830 |
| Total Expenses | $ 3,239 |
| Net Operating Income (NOI) | $ 7,591 |
| Annual Debt Service | $ 4,252 |
| Rehabilitaion | $ 0 |
| Cash Flow Before Taxes (CFBT) | $ 3,340 |
| Income Tax Liability | $ 0 |
| Cash Flow After Taxes (CFAT) | $ 3,340 |
Holding period of 15 years and discount rate of 10% were used for calculation of NPV and IRR. The rest of the financial measures are for the 1st year only and therefore doesn’t provide such exact information.
| Net Present Value (NPV) | $ 49,214 |
| Internal Rate of Return (IRR) | 20.12 % |
| Cash on Cash Return | 17.04 % |
| Return on Equity (ROE) | 17.04 % |
| Capitalization Rate | 9.73 % |
| Gross Rent Multiplier (GRM) | 6.84 |
| Debt-coverage Ratio (DCR) | 2.68 |
| Operating Expense Ratio (OER) | 29.91 % |
| Sale Price in year 15 (Appreciation:1%) | $ 90,556 |
| Sale Proceeds (Before Tax) | $ 40,855 |
| Optimal Holding Period (based on NPV) | 30 years |
Rented for $950.
Has a pool.
This is a 1396 square foot, 2.0 bathroom, single family home. It is located at 13649 N 36th Ave Phoenix, Arizona. The nearest schools are Chaparral Elementary School, Desert Foothills Middle School and Moon Valley High School.
| Price | $ 78,000 |
| Address | 13649 N 36th Ave, Phoenix, 85029, AZ |
| Country | US |
| Year Built | 1971 |
| Type | Singlefamily |
| Size | 1396 SF |
| Number of Bedrooms | 3 |
| Number of Bathrooms | 2 |