STR Near PGA Golf Tourney
Arizona
4 Beds3 BathsBuilt 1980
Estimated Square Feet2,300
Initial Market Value$725,000
Price$725,000
Down Payment $181,250
Closing Costs $10,875
Loan Origination and/or Buydown Points $10,875
Other Costs and Fixup$0
Approximate Cash Invested $203,000
Minimum Recommended Cash Reserves $29,000
Cost per Square Foot / per Bedroom $315 / $181,250
Monthly Rent per SQFT / per Bedroom $3.70 / $2,125
Projected IncomeMonthlyAnnual
Projected Rent$8,500$102,000
Vacancy Losses ($850)($10,200)
Operating Income $7,650$91,800
Estimated ExpensesMonthlyAnnual
Property Taxes($272)($3,263)
Insurance($363)($4,350)
Management Fees($1,530)($18,360)
Leasing/Advertising Fees$0$0
Association Fees$0$0
Maintenance($425)($5,100)
Other (Utilities, Supplies, etc.)($1,200)($14,400)
Operating Expenses ($3,789)($45,473)
Net PerformanceMonthlyAnnual
Net Operating Income $3,861$46,328
- Mortgage Payments($3,115)($37,383)
= Cash Flow $745$8,945
+ Principal Reduction $0$0
+ Potential Cost Seg Tax Savings $3,625$43,500
+ Inflation Induced Debt Destruction® (IIDD) - Beta $1,677$20,119
+ One Year Appreciation $3,021$36,250
= Gross Equity Income $9,068$108,813
Mortgage InfoFirstSecond
Loan-to-Value Ratio 75%N/A
Loan Amount$543,750N/A
Monthly Payment$3,115.23N/A
Loan TypeInterest Only FixedN/A
Term10 YearsN/A
Nominal / Real Interest Rate 6.875% / 3.175%N/A
Monthly PMI$0N/A
Empowered Investor® Indicators
Rent-to-Value Ratio™ (RV Ratio™)1.17%
Debt Coverage Ratio 1.24
Annual Gross Rent Multiplier7
Capitalization Rate 6.4%
Cash on Cash Return 4%
Base Return on Investment (ROI) 22%
Inflation-Enhanced ROI™ (with IIDD) 32%
Tax-Optimized ROI™ (Cost Seg+IIDD) 54%
+ Tax Benefits: Deductions, Depreciation, 1031 Exchange, etc.
Assumptions & Projections
Projected Appreciation Rate5.0%
Gov CPI Inflation September '26 3.7%
Vacancy Rate10%
Management Fee20%
Maintenance Percentage5%
Comments
Off Season $400/night Peak Season $600/night Live events, PGA golf tourney nightly rates up to $800/night Kitchen & bathroom updates 10 years ago. New paint interior & exterior. Roof and A/C are roughly 5 years old.
*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.