Home » Properties » New Construction SFR Property Sold by the Birmingham Property Team for $250k

New Construction SFR Property Sold by the Birmingham Property Team for $250k

Single Family Rental Sold by the Birmingham Property Team for $250k

Property Type:

Single Family Rental
Purchase Price: $250,000
Gross Rent: $1,700
Cap Rate (year 1): 6.3
Cash Flow (year 1): $1,781
3
2
1,400 SQ. FT
Loan type? 75% LTV 30-year @ 6.300% with 2 Pts
?Purchase Price:$250,000
Down payment:$62,500
?Purchase cost:$11,250
?Total cash invested:$73,750
?Estimated cash flow (year 1)
?Gross rent:$1,700
?Principal & interest:$1,161
Taxes:$308
HOA:n/a
Insurance:$83
Property management:n/a
Total monthly cost:$1,552
?Monthly cashflow (year 1):$148
?annual cashflow:$1,781

Buy & Hold Projections

?Appreciation:
3%
?Income Increase:
2%
?Expense Increase:
2%
?Selling Costs:
6%
Cash Flow & EquityYear 1Year 5Year 10Year 30
?Cash flow:$1,781$1,309$2,896$11,069
?Total equity:$72,177$114,708$177,829$606,816
Investment returnsYear 1Year 5Year 10Year 30
?Cap Rate (Purchase Price):6%6%7%10%
?Cash on Cash Return:2%2%4%15%
?Return on Equity:3%1%2%2%
?Internal Rate of Return (IRR):-21%8%10%9%
?Return on Investment:-21%46%143%890%

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