Whoa! Look at that cash flow [Code: 5635 & 5637 & 5639]
| After 15 Years (no mortgage) | |
| Original purchase price | $400,000 |
| Total investment (out of pocket) | $135,500 |
| 15 yrs Project house value | $819,429 |
| Value (appreciation) Gain | $419,429 |
| 15 yrs cash-flow generated | $226,114 |
| Total Gain | $645,543 |
| ROI (15 yrs) | 476% |
| ROI (annually) | 32% |
| Free & Clear cash flow (yr.) | $40,004 |
| Free & Clear cash flow (m) | $3,334 |
- 9 bedroom, 6 bathroom multi-family property (3 of 4 units are available) (Three 2-bedroom/2-bath)
- Property has already been negotiated down to $400k (opportunity to buy 3 houses for $133k each!)
- Around $975/mo. cash flow
- 1-car attached garage for each unit
- Quiet residential street
- Highly appreciating neighborhood
- Cash buyer would be ideal to close by the end of June 2022
- 1% Borrower provided commission (included in figures)
- Tenants pay all the utilities
- All units are currently occupied
- HOA covers mowing services
- Already has inspections and some contract bids available
- A-rated schools
Why should you consider this house / what makes it a good investment?
- Built: 2000
- Size: 3,948 sq ft (each unit approx 1,300 sq. ft)
- Quiet residential street, Desirable community, A-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: Kansas City
Team: Meredith – email directly at kc1@simplydoit.net
Code: 5635 & 5637 & 5639
| Property Specifications | 3 | Per Door |
| Bedrooms | 9 | 3 |
| Bathrooms | 6 | 2.0 |
| Square Feet | 3948 | 1316 |
| Year Built | 2000 | |
| Garage Size | 3 | 1 |
| Schools Rating (on scale of A-F) | A |
| Purchase Assumptions | My Offer | Per Door |
| Offer used for analysis | $400,000 | $133,333 |
| Suggested offer (low) | $400,000 | $133,333 |
| Suggested offer (high) | $402,000 | $134,000 |
| Asking | $450,000 | $150,000 |
| Market Value (after improvements) | $455,000 | |
| Improvements (lower) | $20,000 | $6,667 |
| Improvements (upper) | $27,000 | $9,000 |
| Closing Costs | $4,000 | |
| Mortgage Costs | $4,000 | $1,333 |
| Other Fees At Closing | $4,000 | $1,333 |
| Total Cost | $435,500 | $1,333 |
| Financial Assumptions | Monthly | Yearly | ||
| Rent (upper) | $4,125 | $4,350 | $52,200 | |
| Rent (lower) | $3,900 | $46,800 | ||
| Property Tax Rate (Approx.) | 1.4% | |||
| Property Taxes | $408 | $4,900 | ||
| Insurance | $300 | $3,600 | ||
| Repairs | $300 | $3,600 | ||
| Variable-Cost PM | 7.2% | |||
| Property Management Fee | $295 | $3,539 | ||
| Leasing Fee | 68% | $116.0 | $1,392 | |
| HOA | $26 | $312 | ||
| Vacancy Rate | 4.0% | |||
| Total Fixed Expenses | $1,598 | $19,182 | ||
| Total Expenses (Fixed + Mortgage) | $3,255 | $39,061 | ||
| Financial Analysis / Deal Attractiveness | |||||
| Years: | 5 | 10 | 15 | 20 | |
| Cap Rate | 8.6% | 9.8% | 11.1% | 12.5% | |
| Net Cash Flow | $58,380 | $133,182 | $226,114 | $339,064 | |
| Equity Increase | $122,129 | $272,666 | $458,352 | $687,558 | |
| Total Gain | $180,509 | $405,848 | $684,466 | $1,026,622 | |
| Average Cash Flow/Year | $11,676 | $13,318 | $15,074 | $16,953 | |
| Average Cash Flow/Month | $973 | $1,110 | $1,256 | $1,413 | |
| Average Gain/Year | $36,102 | $40,585 | $45,631 | $51,331 | |
| Average ROI | 133.2% | 299.5% | 505.1% | 757.7% | |
| Annual ROI | 26.6% | 30.0% | 33.7% | 37.9% | |
| Projected Property Value | $553,577 | $673,511 | $819,429 | $996,961 | |
| Property Ratings Suggestions | |||||
| Item | Suggested Criteria (Min.) | This Property | FAVORABLE / INSUFFICIENT |
||
| Schools | B | A | FAVORABLE | ||
| Square Feet | 1000 | 3,948 | FAVORABLE | ||
| Bedrooms | 3 | 9 | FAVORABLE | ||
| Bathrooms | 2 | 6 | FAVORABLE | ||
| Year Built | 1970 | 2000 | FAVORABLE | ||
| Rent/Price (%) | 0.75% | 1.09% | FAVORABLE | ||
| Average Cash Flow (at year 5) | $125 | $973 | FAVORABLE | ||
| Average ROI (at year 5) | 15% | 26.6% | FAVORABLE | ||
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.