This property looks like a bad Long-Term investment with a projected -18.8% first-year return on $84,000 initial cash invested.
-18.8%
Cash On Cash
3%
Cap Rate
0.45
DSCR
$1,649
Rent
-$1,316
Cashflow
Cash Flow
$1,649 income − $2,965 expenses = $1,316 out of pocket
Investment Breakdown
|
Purchase Price
$400k
Downpayment
20.0%
Interest Rate
7.5%
Mortgage Duration
30yr.
Cash To Invest
Total
$84,000
Downpayment
20%
$80,000
Closing costs
1%
$4,000
Rehab
0%
$0
Furnishing
0%
$0
Cashflow
Total Income
$1,649
Total Expenses
$2,965
Mortgage P&I
135%
$2,234
Property Taxes
10%
$163
Home Insurance
8%
$140
HOA
0%
$0
Property Management
10%
$165
CapEx
5%
$82
Vacancy
6%
$99
Maintenance
5%
$82
Other
0%
$0