New Construction Duplex 30 Year Fixed
Arkansas
6bd • 3ba • Built: 2025
| Projected Income | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Projected Rent | $36,480 | $37,574 | $38,702 | $39,863 | $41,059 | $42,290 | $43,559 | $44,866 | $46,212 | $47,598 |
| Vacancy Losses | ($2,918) | ($3,006) | ($3,096) | ($3,189) | ($3,285) | ($3,383) | ($3,485) | ($3,589) | ($3,697) | ($3,808) |
| Operating Income | $33,562 | $34,568 | $35,606 | $36,674 | $37,774 | $38,907 | $40,074 | $41,277 | $42,515 | $43,790 |
| Estimated Expenses | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Property Taxes | ($3,990) | ($4,138) | ($4,291) | ($4,449) | ($4,614) | ($4,785) | ($4,962) | ($5,145) | ($5,336) | ($5,533) |
| Insurance | ($1,596) | ($1,655) | ($1,716) | ($1,780) | ($1,846) | ($1,914) | ($1,985) | ($2,058) | ($2,134) | ($2,213) |
| Management Fees | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Leasing/Advertising Fees | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Association Fees | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Maintenance | ($730) | ($757) | ($785) | ($814) | ($844) | ($875) | ($907) | ($941) | ($976) | ($1,012) |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Operating Expenses | ($6,316) | ($6,549) | ($6,792) | ($7,043) | ($7,303) | ($7,574) | ($7,854) | ($8,145) | ($8,446) | ($8,758) |
| Income Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Net Operating Income | $27,246 | $28,019 | $28,814 | $29,631 | $30,470 | $31,333 | $32,220 | $33,132 | $34,069 | $35,032 |
| - Mortgage Payments | ($23,891) | ($23,891) | ($23,891) | ($23,891) | ($23,891) | ($23,891) | ($23,891) | ($23,891) | ($23,891) | ($23,891) |
| = Cash Flow | $3,355 | $4,128 | $4,923 | $5,740 | $6,579 | $7,442 | $8,329 | $9,241 | $10,178 | $11,141 |
| + Principal Reduction | $3,040 | $3,260 | $3,495 | $3,748 | $4,019 | $4,309 | $4,621 | $4,955 | $5,313 | $5,697 |
| + Appreciation | $19,950 | $20,948 | $21,995 | $23,095 | $24,249 | $25,462 | $26,735 | $28,072 | $29,475 | $30,949 |
| = Gross Equity Income | $26,345 | $28,335 | $30,413 | $32,582 | $34,848 | $37,214 | $39,685 | $42,268 | $44,966 | $47,787 |
| Capitalization Rate | 6.5% | 6.4% | 6.2% | 6.1% | 6.0% | 5.9% | 5.7% | 5.6% | 5.5% | 5.4% |
| Cash on Cash Return | 3.0% | 3.7% | 4.5% | 5.2% | 6.0% | 6.8% | 7.6% | 8.4% | 9.2% | 10.1% |
| Return on Equity | 21.5% | 19.3% | 17.6% | 16.4% | 15.3% | 14.5% | 13.7% | 13.1% | 12.6% | 12.2% |
| Loan Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Market Value | $418,950 | $439,898 | $461,892 | $484,987 | $509,236 | $534,698 | $561,433 | $589,505 | $618,980 | $649,929 |
| - Loan Balance | ($296,210) | ($292,951) | ($289,455) | ($285,707) | ($281,689) | ($277,379) | ($272,758) | ($267,803) | ($262,490) | ($256,793) |
| = Equity | $122,740 | $146,947 | $172,437 | $199,280 | $227,548 | $257,319 | $288,675 | $321,701 | $356,490 | $393,136 |
| Loan-to-Value Ratio | 70.7% | 66.6% | 62.7% | 58.9% | 55.3% | 51.9% | 48.6% | 45.4% | 42.4% | 39.5% |
| Potential Cash-Out Refi | $80,845 | $102,957 | $126,248 | $150,781 | $176,624 | $203,849 | $232,531 | $262,751 | $294,592 | $328,143 |
| Sale Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Equity | $122,740 | $146,947 | $172,437 | $199,280 | $227,548 | $257,319 | $288,675 | $321,701 | $356,490 | $393,136 |
| - Closing Costs | ($29,327) | ($30,793) | ($32,332) | ($33,949) | ($35,647) | ($37,429) | ($39,300) | ($41,265) | ($43,329) | ($45,495) |
| = Proceeds After Sale | $93,413 | $116,154 | $140,105 | $165,330 | $191,901 | $219,890 | $249,374 | $280,436 | $313,161 | $347,641 |
| + Cumulative Cash Flow | $3,355 | $7,483 | $12,406 | $18,146 | $24,725 | $32,167 | $40,497 | $49,738 | $59,916 | $71,056 |
| - Approximate Cash Invested | ($110,224) | ($110,224) | ($110,224) | ($110,224) | ($110,224) | ($110,224) | ($110,224) | ($110,224) | ($110,224) | ($110,224) |
| = Net Profit | ($13,455) | $13,413 | $42,287 | $73,252 | $106,403 | $141,834 | $179,647 | $219,950 | $262,853 | $308,474 |
| Internal Rate of Return | -12.2% | 6.0% | 11.8% | 14.1% | 15.2% | 15.7% | 15.9% | 15.9% | 15.9% | 15.8% |
| Return on Investment | -12.2% | 12.2% | 38.4% | 66.5% | 96.5% | 128.7% | 163.0% | 199.5% | 238.5% | 279.9% |
*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.