Multi-family
3,800 sqft. Interior
6,290 sqft. Exterior
6 Bathrooms
4 Doors
Property Location
8519 23rd Avenue NE, Seattle, , WA 98115
Washington,
Disclaimer:
As experts in property purchasing, we offer consultations and detailed analyses of rental income properties. However, the images, financial projections, and examples presented are for illustrative purposes only and do not guarantee returns or the expected profitability. The configurations and features of the properties may vary. We strongly recommend that you consider our guidance, but also conduct your own research and due diligence before making any investment decisions. Trust our expertise, but remember that all investments carry inherent risks. You are solely responsible for your investment decisions. Your trust is our priority.
Comprehensive Financial Details
At Great Front Door, transparency is key. We want you to have a clear understanding of all costs associated with your property investment. Below, we break down the pricing for Rental Income Property to help you make an informed decision
INVESTMENT DETAILS
- Description Amount
- Cash Due at Closing
- Down Payment: $ 233,000
- Agent Fees: $ 34,950
- Mortgage Fees: $ 9,320
- 1st Year's Insurance: $ 11,650
- 1st Year's Taxes: $ 11,650
- Total Closing Costs: $ 300,570
- Renovation Cost: $ 80,000
- Mortgage While Renovating: $ 12,351
- Property Management Fees: $ 12,593
- Total Initial Investment: $ 405,514
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INVESTORS CONSIDERATIONS
- Description Amount
- Listing Price: $ 1,165,000
- Days on Market: 0
- Fix and Flip Max Price: ----------
- After Repair Value (ARV): ----------
- Equity after Renovation (EaR): ----------
- Redfin YoY Home Price Growth in 98115 1.30%
- Zillow YoY Home Price Growth in 98115 4.50%
RENTAL COMPARISON AND CASH FLOW
- Description Amount
- Monthly Income
- Avg. Monthly Rent ( 2 x 2-bed, 2-bath, 928-sqft rental unit): $ 3,499
- Avg. Monthly Rent ( 2 x 2-bed, 1-bath, 875-sqft rental unit): $ 2,798
- TOTAL Avg. Monthly Rent: $ 12,593
- Monthly Expenses
- Monthly Mortgage Payment: $ 6,176
- Monthly HOA (if any): $ 0
- Monthly Insurance: $ 971
- Monthly Tax: $ 971
- Monthly Maintenance: $ 971
- Monthly Property Management Fees: $ 1,259
- Total Monthly Payment: $ 10,347
- Monthly Cash Flow: $ 2,246
- Annual Cash Flow: $ 26,951
- Return of Investment via Rental Cash Flow: 15 years and 3 months
- Debt-Service Coverage Ratio (DSCR): 1.55
HOW WOULD I RETURN MY INITIAL INVESTMENT?
- Initial Investment: To acquire this property with listing price of $1,165,000 and maximize the rental potential of this property, you will need an initial investment of approximately $405,514. This includes closing costs totaling $300,570 which is a down payment of $233,000, agent fees of $34,950 and mortgage fees of $9,320. Initial investment also includes your renovation budget of $80,000 and mortgage payments during the renovation over 2 months totaling $12,351.
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ARV Comparison Data
Comparable Property Link After Repair Value (ARV) -
Rental Cash Flow:
This 2 bedroom, 2 bathroom, 928 square foot unit can be rented at an average of $3,499 per month. Comparable rents are $3,450, $3,265, $3,781 in this area. Monthly expenses total $10,347. That includes monthly mortgage $6,176, property management fees $1,259, HOA, and then monthly budgets for taxes $971, insurance $971 and maintenance $971. Monthly cash flow is $2,246 totaling to $26,951 in annual rental income. Returning a Total Initial Investment of $405,514 is estimated at 15 years and 3 months.
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2-bed, 2-bath Monthly Rent Price Comparison Data
2-bed, 1-bath Monthly Rent Price Comparison Data
Rental Unit Link Rent Estimate Square Feet $ 3,450 926 $ 3,265 871 $ 3,781 988 Rental Unit Details Rental Unit Link: https://www.zillow.com/apartments/seattle-wa/jasper/5XjKHL/#unit-2058258488
Rent Estimate: $ 3,450
Square Feet: 926Rental Unit Link: https://www.zillow.com/apartments/seattle-wa/rooster-apartments/CkCWst/#unit-2065632629
Rent Estimate: $ 3,265
Square Feet: 871Rental Unit Link: https://www.zillow.com/apartments/seattle-wa/eleanor-apartments/ChKcP6/#unit-2090981417
Rent Estimate: $ 3,781
Square Feet: 988Rental Unit Link Rent Estimate Square Feet $ 2,100 960 $ 2,795 815 $ 3,499 850 Rental Unit Details Rental Unit Link: https://www.zillow.com/apartments/seattle-wa/lakeview-court/5XjW6x/#unit-451117271
Rent Estimate: $ 2,100
Square Feet: 960Rental Unit Link: https://www.zillow.com/apartments/seattle-wa/greenlake-terrace-apartments/5XrSLK/#unit-444783521
Rent Estimate: $ 2,795
Square Feet: 815Rental Unit Link: https://www.zillow.com/apartments/seattle-wa/green-lake-village/5gjyMR/#unit-2070352425
Rent Estimate: $ 3,499
Square Feet: 850 - Return of Investment: Since there is positive Equity after the Renovation, you can perform a Cash Out Refinance with your mortgage assuming the After Renovation Value of $0 and get 80% of the $0 in Equity back in cash after the renovation totaling $0. This shortens the original Return of Investment duration of 15 years and 3 months to 15 years and 3 months because the entire Initial Investment of $405,514 which included Closing Costs, Renovation Budget and getting tenants in, can be cashed out of the property after the renovations and Cash Out Refinance are complete. With Total Monthly Expenses amounting to $10,347, including mortgage payments, taxes, insurance, and maintenance, you can anticipate a Monthly Cash flow of approximately $2,246, resulting in an Annual Cash Flow around $26,951 going forward.
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