14 Unit Apartment Building

[Account Closed]

Here are the preliminary number's. 14 Unit Complex. Built in 1980 

Roof is 10 years old. 50% of the A/C units are new. Parking lot was resurfaced last year. Exterior was rehabbed in 2011. 11 of 14 units have been rehabbed over past 2 years. Tenants pay all utilities. Rents are under market by $50-$100 but I wanted to run my numbers on current rents. C+ / B- Area

Waiting to hear if hot water heaters were replaced during the rehab.

Purchase Price 400k

Loan amount 5% 30 year am. Seller carries note for 5 years then balloons. I pay closing costs.

10k down.

Monthly Rent at current 100% occupancy is $5,710

Vacancy 7%: $399.70

CapEx 5%: $285.50

Management 7%: $399.70

Repairs 5%: $285.50

Insurance: $316.00

P&I: $2,093.60

Property Taxes: $375.00

Pest Control $150

Dumpster $200

Total Expenses $4,340.80

NOI $1,200.00

Debt Coverage Ratio:
1.74

Income-Expense Ratio:
1.42%