Our rental property portfolio: Financial Highlights
Note: Properties are priced rock bottom based on traditional sale and are non-negotiable. If commissions come into play, prices will need to be revised upward.
*Note: For more detailed information, including APOD (Annual Property Operating Data budget), please complete and return our Non Disclosure form located on our more info/downloads page.
|Prop||Units||BLDG/LOT SIZE SF||AGI||MGI||~NOI||Price||~CAP|
|241M (SOLD)||11||8K / 17K||85,620||7,130||47,091||$500,000||9%|
|7D (SOLD)||1||950 /4K||9,480||790||5,688||$55,000||11%|
|Totals (Not including sold buildings)||34||270,000||22,500||150,000||$1,638,000||9% AVG|
AN EXCEL SPREADSHEET WHICH WILL ALLOW YOU TO TWEAK NUMBERS BASED ON YOUR OWN PREFERENCES.
PDF FLYER TO SEND OR PASS OUT TO OTHERS ASSUMING YOU WANT TO ATTRACT PARTNERS OR REFERRALS
NOI (Net operating income) is an estimate only using a nationally accepted metric called the "50% rule" which states that, over time, the expenses of any multi-family property will equal 40%-50% of it's gross rent (35-45% for houses). Expenses include all the usual operating expenses plus an allowance for vacancy, but do NOT include debt service. AGI and MGI are as of 5-31-2016
We are using 45% for our numbers for multi-units and 40% for single family homes. Our buildings have had so many upgrades and repairs that they will most likely expense at the low end of the scale. For example, our actual percentages for 2014 averaged 60.48% (and even higher in previous years!) due to an aggressive capital improvements and preventative maintenance campaign. In other words we spent two years of repairs and upgrades every year so that repairs expense would be much less in future years, when we retire.
There are two scenarios for PARTIAL seller financing: 1.) We will consider seller financing for buildings 2, 7 & 9 ONLY if buying as part of a larger package deal. (MINIMUM 50% of portfolio measured by dollar value). 2.) We will also consider seller financing of 10% of the purchase price of ANY building with STRONG credit so that your required down payment for bank financing will only be 10% vs. 20%. Either scenario will necesitate a thorough credit check and only be extended to those with very good credit.