Have We Got a Deal for You!! [Code: 785]

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Why THIS deal??
  • ~$215/mo. cash flow once you can refi to 5.25% 
  • Cash flows at ~$71/mo. at today's rates of 7.0%
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  • 4 bedroom, 2.5 bath Single Family Home
  • Satellite images show some nearby construction, but that image may not be relevant any longer.  Will need to research further during due diligence.  
  • There could be some residual construction for a potential additional subdivision.  
  • Great location with quick access to major commuting routes, shopping and schools
  • Highly appreciating area with strong rental market
  • Good schools
  • Large lot
  • 396 days on the market.  Great Negotiation tool! 
  • No HOA charges
  • #equity  #cashflow  #appreciation

Why should you consider this house / what makes it a good investment?

  • Built: 2018
  • Size: 1,440 square foot home
  • Low Crime, Desirable Community, B Rated Schools

What's next?

Email/text for address, analysis and to get connected to Simply Do It's local team that handles this transaction.

Metro: Birmingham

Team: Carter  – email directly at bir1@simplydoit.net

Code: 785


Property Specifications 1
 Bedrooms 4
 Bathrooms 2.5
 Square Feet 1440
 Year Built 2018
 Garage Size 1
 Schools Rating (scale 3-30, 30 is best) 17
Lot size (sq ft)                  7,405

Purchase Assumptions My Offer
Offer used for analysis $186,000
Suggested offer (low) $186,000
Suggested offer (high) $196,000
Asking $196,000
Market Value (after improvements) $198,500
Estimated Improvements (lower) $1,000
Estimated Improvements (upper) $2,000
Estimated Closing Costs $1,860
Estimated Mortgage Costs $1,000
Other Fees At Closing (pts, . . . ) $1,000
Total Cost (estimated) $191,360

Financing Assumptions  
 Down Payment (%)   30%
 Down Payment Amount $55,800
 Financed Amount $130,200
 Interest Rate   7.000%
 Mortgage Term (Years) 30
 Monthly Mortgage Payment 61.9% $866
 Cash Outlay (Total Out of Pocket)   $61,160

Estimated Financial Assumptions Monthly Yearly

Rent (upper)*
$1,400 $1,350 $16,200
Rent (lower)* $1,450 $17,400
       
Property Taxes   $114 $1,364
Insurance   $125 $1,500
Repairs 75 $50 $600
Property Management Monthly (%) 8.0%  
Property Management Monthly ($) $112 $1,344
Leasing Fee 60% $35.0 $420
HOA or Fixed Costs $38 $450
Vacancy Rate   4.0%  
Total Fixed Expenses 37.5% $525 $6,296
Total Expenses (Fixed + Mortgage) $1,391 $16,691

Financial Analysis / Deal Attractiveness      
Years: 5 10 15 20
 Cap Rate 1.4% 3.1% 4.9% 7.0%
 Net Cash Flow $4,248 $18,696 $45,098 $85,500
 Equity Increase $50,646 $113,800 $192,813 $292,031
 Total Gain $54,894 $132,496 $237,911 $377,531
           
 Average Cash Flow/Year $850 $1,870 $3,007 $4,275
 Average Cash Flow/Month $71 $156 $251 $356
 Average Gain/Year $10,979 $13,250 $15,861 $18,877
 Average ROI 89.8% 216.6% 389.0% 617.3%
 Annual ROI 18.0% 21.7% 25.9% 30.9%
 Projected Property Value $241,506 $293,828 $357,487 $434,938

Property Ratings Suggestions
 Item      Suggested Criteria (Min.) This Property FAVORABLE /
INSUFFICIENT
 Schools (scale of 3-30, 30 is the best)   14 17 FAVORABLE
 Square Feet     1,000 1,440 FAVORABLE
 Bedrooms     3 4 FAVORABLE
 Bathrooms     2 2.5 FAVORABLE
 Year Built     1970 2018 FAVORABLE
 Average Cash Flow (at year 5)     $125 $71 INSUFFICIENT
 Average ROI (at year 5)     15% 18.0% FAVORABLE

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Disclaimer

Information contained herein was obtained from sources deemed reliable, however, Simply Do It and/or the owner(s) of the property make no guarantees, warranties or representation as to the completeness or accuracy thereof. The presentation of the property is offered subject to errors, omissions, changes in price and/or terms, prior sale or lease or removal from the market for any reason without notice.

The analysis is provided “As Is”. All the information is believed to be accurate (except for the small effects of some simplifying assumptions), but is not guaranteed, and depends on the values entered for the property. This analysis is intended for the purpose of illustrative projections. The information provided is not intended to replace or substitute for any legal, accounting, investment, real estate, tax, or other professional advice, consultation, or service. Simply Do It and/or the owner(s) are not responsible nor liable for any damages arising from the use of the analysis info.