$378,000
702 Mcgowan Ave
Chattanooga TN, 37411
Financial Returns
FinancingCash Flow/mo: $1,081
CashCash Flow/mo: $2,864
25.44%IRR
8.74%CAP Rate
11.98%Cash On Cash
$20,000Equity
Property Information
- Beds: 5
- Baths: 3
- Sq Feet: 3,522
- Year: 1962
- Monthly Rent: $3,250
- Property Taxes: $1,209
- Annual HOA: $0
COMING SOON! Will be completed in 60 days or less with a full set up photos. Will be fully renovated and rented shortly! HUGE PROPERTY!
*FREE PROPERTY MANAGEMENT FOR THE FIRST 12 MONTHS! After that it is a flat $100 a month. We have already secured a tenant at $3,200 and they are set to move in the day the rehab is completed. 2 YEAR LEASE!
Financial Projections
Debt (282k, 275k, 266k, 241k) Equity (112k, 119k, 127k, 152k) Appreciation (20k, 63k, 112k, 256k) Cash Positioning (13k, 42k, 75k, 180k)
Financing Assumptions
| Loan Amount | $285,000 |
| Financed Rehab Amount | $0 |
| Interest Rate | 6.4% |
| Mortgage (yrs) | 30.0 |
| Mortgage Payment | $1,783 |
Initial Investment
| Down Payment (25.1%) | $95,000 |
| Rehab Amount | $0 |
| Est Closing Cost (2%) | $7,600 |
| Points (2%) | $5,700 |
| Total Out Of Pocket | $108,300 |
Property KPI Without Financing
| Annual Cash Flow | $34,364 |
| All In Cost | $393,300 |
| Cap Rate | 8.74% |
Property KPI With Financing
| Annual Cash Flow | $12,972 |
| Total Out Of Pocket | $108,300 |
| Cash On Cash | 11.98% |
Swipe the table to see Year 1 to Year 10 →
| Annual Revenue Increase | 3% | 3% | 3% | 3% | |
| Annual Operating Expense Increase | 3% | 3% | 3% | 3% | |
| Annual Expense Ratio | 10.09% | 10.09% | 10.09% | 10.09% | |
| Monthly | Year 1 | Year 3 | Year 5 | Year 10 | |
|---|---|---|---|---|---|
| Revenues | |||||
| Potential Rental Income | $3,250 | $39,000 | $41,375 | $43,895 | $50,886 |
| Vacancy Rate (2%) | $65 | $780 | $828 | $878 | $1,018 |
| Gross Rental Income | $3,185 | $38,220 | $40,548 | $43,017 | $49,868 |
| Expenses | |||||
| Estimated Annual Property Taxes | $101 | $1,209 | $1,283 | $1,361 | $1,577 |
| Estimated Annual Homeowners Insurance | $125 | $1,500 | $1,591 | $1,688 | $1,957 |
| Maintenance & Repairs (3%) | $96 | $1,147 | $1,216 | $1,291 | $1,496 |
| Estimated Annual Prop Mgmt Fee (0%) | $0 | $0 | $0 | $0 | $0 |
| Estimated Annual HOA Dues | $0 | $0 | $0 | $0 | $0 |
| Utilities | $0 | $0 | $0 | $0 | $0 |
| Reserves | $0 | $0 | $0 | $0 | $0 |
| Total Expenses | $321 | $3,856 | $4,090 | $4,340 | $5,031 |
| Returns Without Financing | |||||
| NOI (Cash Available) | $2,864 | $34,364 | $36,457 | $38,677 | $44,838 |
| Net Cashflow | $34,364 | $36,457 | $38,677 | $44,838 | |
| Cap Rate | 8.74% | 9.27% | 9.83% | 11.4% | |
| Returns With Financing | |||||
| NOI (Cash Available) | $2,864 | $34,364 | $36,457 | $38,677 | $44,838 |
| Mortgage | $1,783 | $21,392 | $21,392 | $21,392 | $21,392 |
| Net Cashflow | $12,972 | $15,065 | $17,285 | $23,445 | |
| Cash On Cash | 11.98% | 13.91% | 15.96% | 21.65% | |
Projections assume 3% annual rent growth and 3% annual expense growth, based on the Turnkey End Buyer strategy. All figures are estimates for information only. Verify independently before investing.