ROI analysis in 38115 SFH property home

[Mike Park]

I have a 3/2 sfh in 38115, Memphis, TN. It is doing okay at the moment. I am getting ROI of 12.88% at the moment.

1) Any advice on the ideas to improve ROI for the next home purchase?

2) Is there any risk going forward in the future in cash flowing this property for the long term??

Monthly Operating Income	Scenario A
Number of Units	1
Average Monthly Rent per Unit	1,175.00
Total Rental Income	1,175.00
% Vacancy and Credit Losses	2.00%
Total Vacancy Loss	23.50
Other Monthly Income (laundry, vending, parking, etc.)	-
Gross Monthly Operating Income	1,151.50
Monthly Operating Expenses
Property Management Fees	105.00
Repairs and Maintenance	10.00
Real Estate Taxes	126.00
Rental Property Insurance	49.78
Homeowners/Property Association Fees
Replacement Reserve
Utilities
Pest Control
Accounting and Legal
Monthly Operating Expenses	290.78
Net Operating Income (NOI)
Total Annual Operating Income	13,818.00
Total Annual Operating Expense	3,489.36
Annual Net Operating Income	10,328.64
Capitalization Rate and Valuation
Desired Capitalization Rate	8.00%
Property Valuation (Offer Price)	129,108.00
Actual Purchase Price	119,900.00
Actual Capitalization Rate	8.61%
Loan Information
Down Payment	35,000.00
Loan Amount	84,900.00
Acquisition Costs and Loan Fees	1,500.00
Length of Mortgage (years)	30
Annual Interest Rate	5.250%
Initial Investment	36,500.00
Monthly Mortgage Payment (PI)	468.82
Annual Interest	4,428.72
Annual Principal	1,197.13
Total Annual Debt Service	5,625.85
Cash Flow and ROI
Total Monthly Cash Flow (before taxes)	391.90
Total Annual Cash Flow (before taxes)	4,702.79
Cash on Cash Return (ROI)	12.88%