Unique House, Trailer and Shop w/ Seperate Tenants
Arkansas
6bd • 5ba • Built: 1940 • Remodeled: 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 | $43,800 | $45,114 | $46,467 | $47,861 | $49,297 | $50,776 | $52,299 | $53,868 | $55,485 | $57,149 |
| Vacancy Losses | ($3,504) | ($3,609) | ($3,717) | ($3,829) | ($3,944) | ($4,062) | ($4,184) | ($4,309) | ($4,439) | ($4,572) |
| Operating Income | $40,296 | $41,505 | $42,750 | $44,033 | $45,354 | $46,714 | $48,116 | $49,559 | $51,046 | $52,577 |
| Estimated Expenses | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Property Taxes | ($2,738) | ($2,839) | ($2,944) | ($3,053) | ($3,166) | ($3,283) | ($3,404) | ($3,530) | ($3,661) | ($3,796) |
| Insurance | ($2,190) | ($2,271) | ($2,355) | ($2,442) | ($2,533) | ($2,626) | ($2,723) | ($2,824) | ($2,929) | ($3,037) |
| Management Fees | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Leasing/Advertising Fees | ($2) | ($2) | ($2) | ($2) | ($2) | ($2) | ($2) | ($3) | ($3) | ($3) |
| Association Fees | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Maintenance | ($2,190) | ($2,271) | ($2,355) | ($2,442) | ($2,533) | ($2,626) | ($2,723) | ($2,824) | ($2,929) | ($3,037) |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Operating Expenses | ($7,120) | ($7,383) | ($7,656) | ($7,939) | ($8,233) | ($8,538) | ($8,854) | ($9,181) | ($9,521) | ($9,873) |
| 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 | $33,177 | $34,122 | $35,094 | $36,093 | $37,120 | $38,176 | $39,262 | $40,378 | $41,525 | $42,704 |
| - Mortgage Payments | ($13,842) | ($13,842) | ($13,842) | ($13,842) | ($13,842) | ($13,842) | ($13,842) | ($13,842) | ($13,842) | ($13,842) |
| = Cash Flow | $19,334 | $20,280 | $21,252 | $22,251 | $23,278 | $24,334 | $25,420 | $26,536 | $27,683 | $28,862 |
| + Principal Reduction | $2,040 | $2,176 | $2,322 | $2,478 | $2,644 | $2,821 | $3,010 | $3,211 | $3,426 | $3,656 |
| + Appreciation | $18,250 | $19,163 | $20,121 | $21,127 | $22,183 | $23,292 | $24,457 | $25,680 | $26,964 | $28,312 |
| = Gross Equity Income | $39,624 | $41,619 | $43,694 | $45,855 | $48,105 | $50,447 | $52,886 | $55,426 | $58,072 | $60,829 |
| Capitalization Rate | 8.7% | 8.5% | 8.3% | 8.1% | 8.0% | 7.8% | 7.6% | 7.5% | 7.3% | 7.2% |
| Cash on Cash Return | 10.1% | 10.6% | 11.1% | 11.7% | 12.2% | 12.8% | 13.3% | 13.9% | 14.5% | 15.1% |
| Return on Equity | 19.5% | 18.6% | 17.7% | 17.0% | 16.3% | 15.7% | 15.2% | 14.7% | 14.2% | 13.8% |
| Loan Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Market Value | $383,250 | $402,413 | $422,533 | $443,660 | $465,843 | $489,135 | $513,592 | $539,271 | $566,235 | $594,547 |
| - Loan Balance | ($180,460) | ($178,284) | ($175,962) | ($173,484) | ($170,840) | ($168,020) | ($165,010) | ($161,799) | ($158,373) | ($154,717) |
| = Equity | $202,790 | $224,129 | $246,571 | $270,176 | $295,002 | $321,115 | $348,582 | $377,472 | $407,862 | $439,829 |
| Loan-to-Value Ratio | 47.1% | 44.3% | 41.6% | 39.1% | 36.7% | 34.4% | 32.1% | 30.0% | 28.0% | 26.0% |
| Potential Cash-Out Refi | $164,465 | $183,887 | $204,318 | $225,810 | $248,418 | $272,202 | $297,222 | $323,545 | $351,239 | $380,375 |
| Sale Analysis | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|
| Equity | $202,790 | $224,129 | $246,571 | $270,176 | $295,002 | $321,115 | $348,582 | $377,472 | $407,862 | $439,829 |
| - Closing Costs | ($26,828) | ($28,169) | ($29,577) | ($31,056) | ($32,609) | ($34,239) | ($35,951) | ($37,749) | ($39,636) | ($41,618) |
| = Proceeds After Sale | $175,962 | $195,960 | $216,994 | $239,120 | $262,393 | $286,876 | $312,630 | $339,723 | $368,226 | $398,211 |
| + Cumulative Cash Flow | $19,334 | $39,614 | $60,866 | $83,117 | $106,395 | $130,729 | $156,149 | $182,684 | $210,367 | $239,228 |
| - Approximate Cash Invested | ($190,713) | ($190,713) | ($190,713) | ($190,713) | ($190,713) | ($190,713) | ($190,713) | ($190,713) | ($190,713) | ($190,713) |
| = Net Profit | $4,584 | $44,861 | $87,147 | $131,524 | $178,076 | $226,892 | $278,066 | $331,695 | $387,880 | $446,727 |
| Internal Rate of Return | 2.4% | 11.7% | 14.6% | 15.8% | 16.4% | 16.7% | 16.8% | 16.9% | 16.8% | 16.8% |
| Return on Investment | 2.4% | 23.5% | 45.7% | 69.0% | 93.4% | 119.0% | 145.8% | 173.9% | 203.4% | 234.2% |
*Information is not guaranteed and investors should do their own research, get professional advice and conduct due diligence prior to investing.