Notes / Instructions:
- Enter the total purchase price on line 1
- Annualize your rental income (i.e., Monthly rent x 12) = Annual Amount.
- Estimate your annual vacancy loss rate (i.e., One month vacant per year is 1 divided by 12 = 9%)
- Annualize ALL your expenses including repair, renovations, association payments, taxes, insurance, etc.
- Make an assumption on rent increases and operating expenses per year (i.e., 1%, 2%, etc.) and enter that amount
- Enter the % down payment.
- Enter the interest rate and number of years for your mortgage.
If paying cash (with no mortgage) enter 100% in the "Down Payment % box and "0" in the Interest Rate and Loan Terms boxes.
- Enter the total Square Footage of the rental property in the SF box.