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27 March 2012 | 7 replies
If you're predictions are off and you buy a 9 unit, multiply the damage by 9.
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17 February 2013 | 6 replies
Many appraisers will use a market-driven gross-rent multiplier, or a straight comparable-sales approach.
29 September 2013 | 10 replies
on the high side, 90k would be my ceiling (assuming no repairs are needed)i used the following assumptions ... broad strokesPP: 90kannual rent: 18,540vacancy: 10%, could be higher or lower based on your areaSWAG expenses: 9,270 (50%) ruleCAP: 8.24%gross rent multiplier: 4.85% financed amount: 67.5Kdown: 22.5kannual debt svc: 4104DSCR: 1.81year 1 NOI: 7416before tax cash flow: 3,312before tax cash on cash return: 14.72%assuming a 5 year hold, at 90k you could expect an IRR 9.7% (assumed 1.5% increase in rent/expenses and 5% cost of sale.)i found a large deviation in per unit comps for 2-4 unit properties in malvern, pa (assuming you're looking close to home).
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24 June 2018 | 8 replies
.** Purchase & Rehab **Purchase Price: $115,000 ($76/sq. ft.)Purchase Costs: $3,450Rehab Costs: $7,500Down Payment: $28,750Total Cash Needed: $39,700** Financing **Loan Type: AmortizingLoan Amount: $86,250Loan to Value: 75%Loan Term: 15 YearsInterest Rate: 4.5%Monthly Payment: $660** Cash Flow (Monthly) **Rent: $1,260Vacancy: -$126 (10%)Expenses: -$504 (44.4%)NOI: $630Mortgage Payment: -$660Cash Flow: -$30** Returns & Ratios **Cap Rate: 6.6%Cash on Cash: -0.9%Return on Investment: -3.9%Return on Equity: -0.9%Internal Rate of Return: -3.9%Rent to Value: 1.1%Gross Rent Multiplier: 7.6Debt Coverage Ratio: 1
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31 May 2020 | 24 replies
You can add up the 2017 rate and multiply it to the appraised value To get the amount you are looking for. http://hcad.org/property-search/real-property/real-property-search-by-address/
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8 June 2018 | 14 replies
Due diligence is generally the same just multiplied lol.
8 September 2018 | 10 replies
Here's a quick way to evaluate a property: take the annual gross income, multiply times .5 (half goes to expenses, divide this (the net operating income), by your desired cap rate (e.g. 8%)Here's an example: $100,000 gross income, x .5 = $50,000 net operating income, divide this by .08 and you get the purchase price of $625,000.If they're asking $650K, the property is probably worth looking into.
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10 May 2015 | 4 replies
My point being that my Bandit signs were in disadvantaged positions.From my results, I believe that If I multiplied the number of signs by x, I would have some percent more responses on the Bell Curve to address.
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2 June 2015 | 12 replies
As far as insurance goes, I used a formula I obtained from BP forum; home value divided by 1000, multiply by 3.5...have no idea how they obtained this formula but it seemed to work out for my current insurance cost.
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11 March 2015 | 7 replies
Abou, you can calculate the property taxes on a property in Rhode Island by looking up the assessed value (on the city/town assessor page) and then dividing by 1000 and multiplying by "rate" and "% of value" on this tax rates page.For example, if a residential property is assessed at $250,000 in Cranston, then it's 250,000 * 22.84/1000 (tax rate) * 100% (% of assessed value that is taxed) = $5710/year or 475 that would need to be set aside each month.