Investment Opportunity

startup101

Investment Structure

Total Investment Required
$578,000
Total Units
58
Price Per Unit
$10,000
Ownership Per Unit
1.72%
Minimum Units
1
Holding Period (Years)
5

Cash Flow

Annual Cash Flow – 5-Year Analysis

Category Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Total
INITIAL INVESTMENT (YEAR 0)
Purchase Price -$525,000 -$525,000
Closing Costs -$3,000 -$3,000
Setup Fees -$7,000 -$7,000
Legal Fees -$3,000 -$3,000
Rehab / Furnishing -$40,000 -$40,000
Initial Reserve
Total Capital Deployed -$578,000 -$578,000
BOOKING REVENUE
Booking Revenue $77,713 $80,076 $82,512 $85,022 $87,608 $412,931
↳ Unit 1 $38,325 $39,475 $40,659 $41,879 $43,135 $203,473
↳ Unit 2 $38,325 $39,475 $40,659 $41,879 $43,135 $203,473
↳ Platform Fees -$3,886 -$4,004 -$4,126 -$4,251 -$4,380 -$20,647
Net Revenue $75,287 $77,577 $79,937 $82,368 $84,873 $400,042
EXPENSES
Bills & Expenses -$20,403 -$20,441 -$20,480 -$20,521 -$20,562 -$102,407
↳ Property Tax -$6,748 -$6,748 -$6,748 -$6,748 -$6,748 -$33,740
↳ Insurance -$4,000 -$4,000 -$4,000 -$4,000 -$4,000 -$20,000
↳ HOA
↳ Maintenance -$1,200 -$1,200 -$1,200 -$1,200 -$1,200 -$6,000
↳ Property Mgmt -$1,255 -$1,293 -$1,332 -$1,373 -$1,415 -$6,667
↳ Utilities -$7,200 -$7,200 -$7,200 -$7,200 -$7,200 -$36,000
↳ Cleaning
↳ Reserves
RETURNS
Income After Bills $54,884 $57,136 $59,456 $61,847 $64,311 $297,635
Cash Flow $54,884 $57,136 $59,456 $61,847 $64,311 $297,635
Running Total -$578,000 -$523,116 -$465,979 -$406,523 -$344,676 -$280,365 -$280,365
PROPERTY SALE – END OF YEAR 5
Estimated Sale Value $525,000 $525,000
Selling Costs -$72,350 -$72,350
Net Sale Proceeds $731,535 $731,535
Total Cash Received $795,846 $1,029,170

Profitability Analysis

Total ROI
78.06%
Cash-on-Cash
9.5%
Cap Rate
10.45%
Projected IRR
14.81%
Projected Sale
$803,885
Net Sale Proceeds
$731,535
Total Return
$451,170

Exit & Returns

Investor Total Return
$452,731
Investor Annualized Return
15.61%