Property Report :

Theoretical Property 1

123 Main St , La Grande, OR 97850

Powered by

Real Estate Analysis

Created on: Apr 14, 2025

Author: Kate Howard

123 Main St , La Grande, OR 97850

Singlefamily:

Investment strategy: Rental Property

Purchase Price$ 150,000

Rent$ 1,100/mo

Monthly Cash Flow$ 150

Cash on Cash Return5.31 %

Financial Analysis

Cash on Cash Return	5.31 %
Internal Rate of Return (IRR)	11.98 %
Capitalization Rate	5.79 %
Gross Rent Multiplier (GRM)	11.36
Debt-coverage Ratio (DCR)	1.26
Operating Expense Ratio (OER)	26.94 %

Financial Breakdown

Purchase Price	$ 150,000
Purchase Costs	$ 2,500
Repair/Construction Costs	$ 1,500
Total Capital Needed Total Capital Needed Includes all projects costs (except selling costs). Total Capital Needed Includes all projects costs (except selling costs).	$ 154,000
Financing	$ 120,000
Total Cash Needed Cash out of Pocket Shows rehabber's cash outlay. Cash out of Pocket Shows rehabber's cash outlay.	$ 34,000
Cash at Closing Cash at Closing This number includes down payment and loan points. Cash at Closing This number includes down payment and loan points.	$ 30,000
Cash During Rehab Cash During Rehab Shows the cash amount remaining to fund the purchase and rehab/construction. Cash During Rehab Shows the cash amount remaining to fund the purchase and rehab/construction.	$ 4,000

Operating Analysis

Rent	$ 1,100/mo
Gross Operating Income (GOI)	$ 11,880
Total Expenses	$ 3,200
Net Operating Income (NOI)	$ 8,680
Annual Debt Service	$ 6,875
Cash Flow Before Taxes (CFBT)	$ 1,805
Income Tax Liability	$ -111
Cash Flow After Taxes (CFAT)	$ 1,917

Purchase Price	$ 150,000
Address	123 Main St , La Grande, 97850, OR
Type	Singlefamily

Annual Property Operating Data

Incomes		% of GOI
Gross Scheduled Income Gross Scheduled Income (GSI) Represents the total of monthly rents for the particular property, including the potential rents from vacant units and uncollectable rents. Gross Scheduled Income (GSI) Represents the total of monthly rents for the particular property, including the potential rents from vacant units and uncollectable rents.	$ 13,200
Total Gross Income	$ 13,200
Vacancy loss Vacancy and Credit Loss Part of the potential rental income that is lost because of unoccupied units or uncollectable rent from tenants. Vacancy and Credit Loss Part of the potential rental income that is lost because of unoccupied units or uncollectable rent from tenants.	$ 1,320
Gross Operating Income Gross Operating Income (GOI) An actual income which is expected to be collected in the property. Gross Operating Income (GOI) An actual income which is expected to be collected in the property.	$ 11,880	100.00 %
Expenses Operating Expenses Expenses necessary for maintaining the property and ensuring its continued ability to produce income (doesn't include mortgage payments or depreciation). Operating Expenses Expenses necessary for maintaining the property and ensuring its continued ability to produce income (doesn't include mortgage payments or depreciation).
Insurance	$ 800	6.73 %
Repairs	$ 400	3.37 %
Property tax	$ 2,000	16.84 %
Total Expenses	$ 3,200	26.94 %
Net Operating Income Net Operating Income (NOI) Important measurement calculated as gross operating income minus operating expenses. Net Operating Income (NOI) Important measurement calculated as gross operating income minus operating expenses.	$ 8,680	73.06 %

Cash Flow (Year 1)

Net Operating Income	$ 8,680	73.06 %
Annual Debt Service	$ 6,875	57.87 %
Cash Flow Before Taxes (CFBT) Cash Flow All the inflows and outflows of cash for a certain property (including mortgage payments). We can calculate cash flow before taxes (CFBT) or cash flow after taxes (CFAT) which is CFBT minus any tax liability arising from the operation of the property. Cash Flow All the inflows and outflows of cash for a certain property (including mortgage payments). We can calculate cash flow before taxes (CFBT) or cash flow after taxes (CFAT) which is CFBT minus any tax liability arising from the operation of the property.	$ 1,805	15.20 %
Income Tax Liability	$ -111	-0.94 %
Cash Flow After Taxes (CFAT) Cash Flow All the inflows and outflows of cash (including mortgage payments). We can calculate cash flow before taxes (CFBT) or cash flow after taxes (CFAT) which is CFBT minus any tax liability arising from the operation of the property. Cash Flow All the inflows and outflows of cash (including mortgage payments). We can calculate cash flow before taxes (CFBT) or cash flow after taxes (CFAT) which is CFBT minus any tax liability arising from the operation of the property.	$ 1,917	16.13 %

Operating Ratios

Operating Expense Ratio Operating Expense Ratio Ratio of the operating expenses to the gross operating income (GOI). Operating Expense Ratio Ratio of the operating expenses to the gross operating income (GOI).	26.94 %
Break-Even Ratio Break-Even Ratio (BER) Another benchmark used by mortgage lenders, estimating how vulnerable is a certain property to defaulting on its mortgage if part of the rental income is declined. Most of the lenders are looking for BER of 85% or less. Break-Even Ratio (BER) Another benchmark used by mortgage lenders, estimating how vulnerable is a certain property to defaulting on its mortgage if part of the rental income is declined. Most of the lenders are looking for BER of 85% or less.	84.80 %

Year	0	1	2	3	4	5	6	7	8	9	10	11	12	13	14	15	16	17	18	19	20	21	22	23	24	25	26	27	28	29	30
Operational Analysis
Gross Scheduled Income	0	13,200	13,464	13,733	14,008	14,288	14,574	14,865	15,163	15,466	15,775	16,091	16,413	16,741	17,076	17,417	17,765	18,121	18,483	18,853	19,230	19,615	20,007	20,407	20,815	21,231	21,656	22,089	22,531	22,982	23,441
Vacancy Loss	0	1,320	1,346	1,373	1,401	1,429	1,457	1,487	1,516	1,547	1,578	1,609	1,641	1,674	1,708	1,742	1,777	1,812	1,848	1,885	1,923	1,961	2,001	2,041	2,082	2,123	2,166	2,209	2,253	2,298	2,344
Gross Operating Income	0	11,880	12,118	12,360	12,607	12,859	13,116	13,379	13,646	13,919	14,198	14,482	14,771	15,067	15,368	15,675	15,989	16,309	16,635	16,968	17,307	17,653	18,006	18,366	18,734	19,108	19,490	19,880	20,278	20,683	21,097
Expenses	0	3,200	3,264	3,329	3,396	3,464	3,533	3,604	3,676	3,749	3,824	3,901	3,979	4,058	4,140	4,222	4,307	4,393	4,481	4,570	4,662	4,755	4,850	4,947	5,046	5,147	5,250	5,355	5,462	5,571	5,683
Net Operating Income	0	8,680	8,854	9,031	9,211	9,396	9,583	9,775	9,971	10,170	10,373	10,581	10,792	11,008	11,228	11,453	11,682	11,916	12,154	12,397	12,645	12,898	13,156	13,419	13,687	13,961	14,240	14,525	14,816	15,112	15,414
Loan Payment	0	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875	6,875
Payment Interest Part	0	4,762	4,675	4,586	4,493	4,396	4,295	4,189	4,080	3,966	3,848	3,724	3,596	3,462	3,323	3,179	3,028	2,871	2,708	2,538	2,362	2,178	1,987	1,787	1,580	1,364	1,140	906	663	410	147
Payment Principal Part	0	2,113	2,199	2,289	2,382	2,479	2,580	2,685	2,795	2,909	3,027	3,150	3,279	3,412	3,551	3,696	3,847	4,003	4,167	4,336	4,513	4,697	4,888	5,087	5,295	5,510	5,735	5,968	6,212	6,465	6,728
Cash Flow
Repairs/Construction	1,500	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0
Cash Flow Before Taxes	-34,000	1,805	1,979	2,156	2,337	2,521	2,709	2,900	3,096	3,295	3,499	3,706	3,918	4,134	4,354	4,578	4,807	5,041	5,279	5,522	5,770	6,023	6,281	6,544	6,813	7,086	7,366	7,650	7,941	8,237	8,540
Depreciation	0	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364	4,364
Taxes	0	-111	-46	20	89	159	231	305	382	460	540	623	708	795	885	978	1,073	1,170	1,270	1,374	1,480	1,589	1,701	1,817	1,936	2,058	2,184	2,314	2,447	2,585	2,726
Cash Flow After Taxes	-34,000	1,917	2,025	2,136	2,248	2,362	2,477	2,595	2,714	2,835	2,958	3,083	3,210	3,338	3,468	3,601	3,735	3,871	4,009	4,149	4,290	4,434	4,580	4,727	4,877	5,028	5,182	5,337	5,494	5,653	5,814

Note: All amounts in the table above are in $

Sign in to edit this report, add or compare properties. Don't have an acount? Sign up now!

BESbswy