| | | | | | | | | | | | | | | | | | | | | | | | Rental Property Analyzer | |
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| Step 1: Replace sample data with your data and tab to next entry. Analyzer updates after each entry. | | Step 2: View your projected results! Note that you can see the projected results in three views below. | |
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| Purchase of Property | | *-How to Enter Data | View 1--Gross return (think compound interest) | | |
| Price you will pay for the property? | | *-Enter amt., hit tab | Your safe investment rate before taxes is | | |
| Down payment? | | | Your compound rate of return on this property is | | |
| First mortgage amount? | | | This return is better (worse) than your safe rate by | | |
| First mortgage period in years? | | *-Enter yrs., hit tab | | | |
| First mortgage interest rate? | | | View 2--After-tax adjusted rate of return | | |
| Monthly payment (calculated) | | | Your safe investment rate after taxes is | | | |
| First mortgage points (percent)? | | *-Enter %, hit tab | This property produces an after-tax annual return of | | |
| Points (calculated dollar amount) | | | This return is better (worse) than your safe rate by | | |
| Other first mortgage closing costs | | | | | |
| Total costs to obtain mortgage | | | View 3--After-tax cash profit (loss) | | | |
| Closing costs to obtain title (transfer/stamp taxes, survey, etc)? | | | In today's dollars (present value), you invest | | |
| | In tomorrow's dollars (future value), you walk away with | | |
| Second mortgage? Enter 1 for yes, 2 for no. | | | | This gives you a cash profit (loss) of | | | |
| | | Number of years you will own this property | | |
| Second mortgage amount? | | | | | | |
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| Second mortgage period in years? | | | | | | |
| Second mortgage interest rate? | | |
| Monthly payment (calculated) | | |
| Balloon payment on second mtg? Enter 1 for yes, 2 for no. | | | |
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| Year of balloon payment? | | |
| Balloon payment (calculated) | | | | |
| Second mortgage points or other | | |
| acquisition costs? | |
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| Rental Income | | |
| Monthly rent? | | |
| Annual rent | | |
| Vacancy rate as a percentage? | | |
| Net annual rental income | | |
| Expected annual increase in rent as a percentage (your best guess)? | | |
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| Income Taxes | | | | |
| Federal tax rate on ordinary income? | | | | | | |
| State tax rate on ordinary income? | | | | |
| Federal tax rate on unrecaptured section 1250 gain? | | | | | | |
| Federal tax rate on capital gains? | | | | |
| State tax rate on capital gains? | | | | | | |
| Do you qualify according to tax law to deduct your passive losses? Enter 1 for yes, 2 for no. | | | | | | |
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| Investment Return | | | | |
| Annual percentage return you earn on a safe investment? | | | | | | |
| Tax rate (combined state and federal) that applies to this safe investment? | | For reference, your combined ordinary income state and federal tax rate is to the right of this note. | | | |
| After-tax safe return (calculated) | | | | | |
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| Appreciation in Property Value | | | | |
| Years you intend to own this property? | | | | |
| Anticipated average annual appreciation in property value? | | |
| Selling price of property (calculated) | | | | |
| Real estate commissions and closing costs on the sale of this property as a percentage of selling price? | | |
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| Property Ownership/Carrying Costs | | | |
| Real estate taxes per year? | | |
| Annual increase in real estate taxes? | | |
| Property management fees? | | | | |
| Annual increase in fees? | | | | |
| Tenant location fees? | | | | |
| Annual increase in fees? | | | | |
| Repairs and maintenance per year? | | | | |
| Annual increase in repairs/maint.? | | | | |
| Property insurance? | | | | |
| Annual increase in insurance? | | |
| Utilities per year? | | |
| Annual increase in utilities? | | | One-Time Property Ownership/Carrying Costs by Year | | |
| Condo fees? | | | 1 | 2 | 3 | 4 | 5 | 6 | 7 | |
| Annual increase in condo fees? | | | | | | | | | | |
| Other expenses? | | | 8 | 9 | 10 | 11 | 12 | 13 | 14 | |
| Annual increase in other expenses? | | | | | | | | | | |
| | | | 15 | 16 | 17 | 18 | 19 | 20 | 21 | |
| Allocation of Purchase Price to Land, Building | | | | | | | | | |
| Commercial property? Enter 1 Residential property? Enter 2 | | | | These costs appear in the calculations below. | |
| Purchase price of property? | | | | |
| Closing costs to perfect title? | | | | |
| Total cost (basis) of property | | | | |
| Percent of cost (basis) to land? | | |
| Basis of land | | |
| Basis of building | | |
| To keep this worksheet straightforward, cost segregation, qualified improvement property, and personal property depreciation are not considered. | |
