Turnkey Real Estate Investing Blog

Real Estate Investing Blog

Benefits of Single Family Real Estate Investing

Christian Allred June 28, 2018

Common Client Scenarios & Situations Leveraging rental property investing to

Cryptocurrency Growth Trends & Industry Performance

Nate Nead May 26, 2018

This report is part of a series covering cryptocurrency investing.

What is Unitranche Financing? How it Works & What Are The Trends?

Nate Nead May 24, 2018

Structuring unitranche deals have gained traction in both the US

Retail Real Estate – An Investor’s Industry Overview

Nate Nead April 15, 2018

Our experienced commercial and retail real estate investment team provides

Initial Coin Offerings: Risks, Legality and Issues of ICO’s

Nate Nead January 29, 2018

Cryptocurrencies and the blockchain ledger are changing the way companies

How to Invest in Private Equity with Your IRA

Nate Nead May 24, 2016

When we do deals, they are almost always proprietary. We

Calculation Assumptions

Rental Income (mo.)

Property Taxes

Insurance (est.)

Homeowners Assoc.

Management Fee

Maintenance Reserve

Appreciation Rate

Vacancy Allowance

Rental Income Increase

Operating Expense Increase

Closing Costs (Buy)

Closing Costs (Sell)

Basic Purchase Information

Property Value (est.)

Purchase Price

Down Payment (20.0%)

$30,000

Equity at Purchase

$30,000

Mortgage Calculation

Interest Rate

Down Payment

Loan Term (Fixed)

Loan Amount

$120,000

Annual Payment

$9,101

Monthly Payment

$758

Cash to Purchase

Down Payment (20.0%)

$30,000

Closing Costs (4.0%)

$4,800

Total Cash Required

$34,800

Numbers in blue boxes can be modified. Calculations under all tabs update in real-time.

Cash Flow and Equity Accumulation

INCOME ANALYSIS	YEAR 1	YEAR 2	YEAR 3	YEAR 4	YEAR 5	YEAR 10	YEAR 20	YEAR 30
Gross Scheduled Income
Less Vacancy Allowance
Gross Operating Income

Property Taxes
Insurance
Utilities
Homeowners Association
Maintenance Reserve
Property Management
Total Operating Expenses

Net Operating Income
Capitalization (Cap) Rate (%)

Less Mortgage Expense
CASH FLOW
Cash on Cash Return	4.8%	6.1%	7.5%	8.9%	10.4%	18.7%	41.4%	75.3%

FINANCIAL PERFORMANCE	YEAR 1	YEAR 2	YEAR 3	YEAR 4	YEAR 5	YEAR 10	YEAR 20	YEAR 30

EQUITY ANALYSIS	YEAR 1	YEAR 2	YEAR 3	YEAR 4	YEAR 5	YEAR 10	YEAR 20	YEAR 30
Property Value	$150,000	$156,000	$162,240	$168,730	$175,479	$213,497	$316,027	$467,798
Plus Appreciation	$6,000	$6,240	$6,490	$6,750	$7,020	$8,540	$12,642	$18,712
Less Mortgage Balance	$118,659	$117,228	$115,701	$114,071	$112,333	$101,731	$66,798	$0
TOTAL EQUITY	$37,341	$45,012	$53,029	$61,409	$70,166	$120,306	$261,871	$486,510
Total Equity (%)	24%	28%	31%	35%	38%	54%	80%	100%

Cumulative Net Cash Flow	$1,686	$3,823	$6,432	$9,531	$13,143	$19,651	$34,042	$60,237
Cumulative Appreciation	$6,000	$12,240	$18,730	$25,480	$32,500	$41,040	$53,682	$72,394
Total Net Profit if Sold	-	$1,309	$9,548	$18,158	$27,158	$78,674	$224,020	$454,393
Annualized Return (IRR)	-	10.9%	15.7%	17.6%	18.4%	18.6%	17.5%	16.9%