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This file is View Only. I've included sample data below as an example. Red fields must be entered by you.
This information is not intended to be investment advice. Consult with a trusted real estate professional.
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Property Address
Add the address of the property and hyperlink it to the listing on the real estate website. I use Redfin/Zillow.
Property Type
Enter the property type. Examples includes Single Family, Condo, Duplex, etc.
Time to Sale
(# of Days)
I track the number of days from listing to under contract to see how quickly homes sell in a specific market. This also helps me see what the market values and what is popular.
Current List Price
Enter the current price of the property. I use Redfin/Zillow to get email alerts on any property I am intersted in so I get notified of any changes.
Closing Cost
This varies by state to state but I price in 3-5% of the loan amount. Below's function factors in 5%.
Holding Costs
If the property needs renovated or cannot be rented quickly upon closing you should include a buffer as it may take a while to collect rent. Take your projected monthly rent and multiple by number of months needed.
Upfront Repairs
Add any expected upfront renovation expenses to this column. These are things that must get done prior to finding a tenant. Examples include new kitchen, new flooring, etc.
Projected Monthly Mortgage
Redfin provides this data on any listing and it can be customized based on the loan terms. The interest rate and down payment are the biggest factors.
Annual Financing Costs
This is the annual cost of financing the property and is automatically calculated based on the monthly morgage.
Downpayment
The downpayment varies but typically investment based mortgages require 20% down or more. This is based on the price you submit to the seller. If you are going to live in the property for a few years you may be able to put less down. Talk to your loan officer to see what yur options are. Below I used 25% as an example.
Projected Monthly Rent
Redfin/Zillow shows you a range in some markets but I also use a tool called Rentometer to get more actual numbers. I'm always conservsative becuase this number is super important. If you overestimate it can make or break the value of the property so do your research and talk to your realtor.
Annual Income
This takes your projected monthly rent and multiples it by 12 months. This hasn't factored in your expenses yet so don't get too excited :)
Annual Vacancy Rate
You likely won't always have a paying tenant in the property for any number of reasons. You should aim to save 5% of your annual income for each property.
Annual Management Fee
If you want the property to be hands off you need to hire a professional management company. This typically runs 10% of the annual income on the property. I self manage to save money here.
Annual Property Taxes
This data is readily available on Redfin/Zillow listings but double check and ask for this data from your realtor as it can change due to tax credits, etc. Often property taxes increase.
Annual Home Insurance
This data is readily available on Redfin/Zillow listings but double check and ask for this data from your realtor. It's usually pretty affordable to insure rental property but make sure you have the right coverage.
Annual Matinence Budget
I aim to save 7-10% of the annual income for matinence on the property. Stuff will break and you want to ensure you can easily cover these expenses without going into debt.
Annual Capex Reserve
There are items that the matinence budget may not cover like HVAC, new roofs, and more expensive items. The Capex reserve can also be used to improve your property with future renovations long term. That's why I save 5% of the annual income as a reserve.
Annual HOA Fee
Some properties have home owners association fees so you should add those here. These often increase so make sure to factor that into your analysis. I always try to find property that don't have HOA fees because these fees make property less profitable.
Rental Licenses
Some cities require landlords to hold rental licenses. Make sure to research this and include this expense. Normally these are very cheap to obtain and have a small annual fee.
Annual Net Operating Income
This is the annual income you can expect after factoring in expenses (excluding mortgage payments) and rent. This is how much you would make each year if you didn't have to finance the property.
Total Purchase Cost
Your total purchase cost adds your purchase price + closing costs + holding costs + upfront costs. This is really what it will cost to buy this property.
Return on Asset
Based on the current expenses and rent you can expect this to be your return annually. Long-term this will hopefully increase as rent increases and you continue to pay off the loan pricipal. I rarely consider any property if this is below 6%.
Annual Net Income After Financing
After factoring all expenses including mortgage and income this will be your annual profit. Long-term this will increase as you pay off the loan and your rent hopefully increases.
Total Cash Invested
Based on your downpayment, closing costs, and upfront/holding costs this is how much cash you may need to have available for this property. This helps me understand just how much I need to invest in the property.
Cash on Cash Return (COC)
After factoring in how much cash you are investing this is the direct return on that cash when you buy the property. This takes the net income after financing divided by the total cash invested.
Mortgage Loan Amount
Your loan is the price of the property minus the downpayment. This is calculated automatically.
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Example PropertySingle Famly Home3 Days$215,000$8,063$0$0$821$9,854$53,750$1,800$21,600$1,080$0$2,750$850$1,512$1,080$0$100$14,228$223,0636.38%$4,374$61,8137.08%$161,250
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