Number Crunching in Columbus, Ohio Area

[Joshua Dawson]

BP'ers,

I've been number crunching a few deals today, and wanted to provide you with some numbers that I've been using here in Columbus, Ohio (and area) for analyzing deals. Obviously, no case in ever the same, but you can ballpark a single family or small multi-family rental property decently using the following number (keep in mind mortgage rates change by the minute, as their pinned to the 10 year treasury note):

• Loan Rates for multi-family homes with 25% down: 4.375%
• Loan Rates for single-family homes <$150K with 25% down: 4.625%
• Average Cap Rate: 7.79%
• Average Property Value Growth: 4.2%
• Average Rental Income Growth: 3.5%
• Average Expense Growth: 4.1%
• Cost of Sale: 7%

There are too few rental listings in the Columbus area advertised on MLS, so I've been using rentometer.com, which seems to be fairly good at gauging rental comps.

Anyway, thought that would be useful.

- Josh