2850 Palm Drive, West Palm Beach, FL
Asking Price:
$
After Repair Value:
$
Bedrooms:
0
Bathrooms:
0
House Area:
0 sqft
Lot Size:
0 Acre
Property Type:
Single Family Residence
Year Built:
2001
Pool:
No
Waterfront:
No
Additional Details
Comps
Available Upon Request
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2850 Palm Drive, Palm Beach, FL
Strategy
Entity:
2850 LLC
Date Created:
11/21/2021
Loan Amount:
$277,500
Interest Rate:
7.45%
Term:
12 Months
Client:
Smith, John
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Wholesale Deals
2850 Palm Drive, Palm Beach, FL
Asking Price:
$240,000
After Repair Value:
$405,000
Bedrooms:
4
Bathrooms:
2.5
House Area:
2,584 sqft
Lot Size:
0.32 Acre
Details
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Quick Calculators
Fix and Flip
Short Term Rental
Long Term Rental
Gross Cost & Return Analysis
Loan Percentage
Purchase Price
Rehab
ARV
Interest Rate
Estimated Time Held
Insurance
Utilties
Taxes
All Cash
Potential Revenue
Potential ROI
$93,000
47.45%
Loan Wolf
Potential Revenue
Potential ROI
$93,000
$58.87%
Fix and Flip Analysis Summary
All Cash
Hard Money Loan
Buyer's Costs
Loan Amount
Buyer's Costs
Purchase Price
$250,000
$200,000
$50,000
Rehab Cost
$50,000
$50,000
Closing Costs
$12,000
$15,000
Holding Costs
$7,000
$7,000
Total Investment
$319,000
$250,000
$72,000
After Repair Value
$412,000
$412,000
Loan Payoff
$250,000
Gross Revenue
$93,000
$57,000
Gross ROI
29.15%
79.17%
Annualized Gross Reveue
$186,000
$114,000
Annualized Gross ROI
58.30%
158.34%
Analysis Breakdown
Closing Costs
$2,500
1% for Title Closing Costs
$2,500
Lender Closing Costs
$1,500
Origination Fee
$5,000
$2,500
Total
$9,000
Holding Costs
6
Months Held
6
$1,200
Insurance Costs
$1,200
$1,030
Utilities Bills
$1,030
$1,900
Property Taxes
$1,900
Mortgage Interest
$4,887
$4,130
Total
$9,017
Return Breakdown
Returns Analysis
$412,000
After Repair Value
$412,000
- $319,000
Total Investment
- $72,000
Loan Payoff
- $250,000
$93,000
Gross Profit
$57,000
Gross Profit is the After Repair Value subtracted by the Total Investment Amount
Additional Fees will be incurred on the sale of the property depending on the method
$93,000
Gross Profit
$57,000
÷ $319,000
Total Investment
÷ $72,000
29.15%
Gross ROI
79.17%
The Gross ROI is calculated by dividing the Gross Profit by the Total Investment
6
Months Held
6
58.30%
Annualized Gross ROI
158.34%
$186,000
Annualized Gross Profit
$114,000
To calculate the Annualized Gross Profit and ROI, first calculate the Time Held Ratio.
Time Held Ratio = ( Time Held in Months ) ÷ ( 12 Months in a Year)
Then divide the Gross Profit and the Gross ROI by the Time Held Ratio
( Annualized Gross Profit ) = ( Gross Profit ) ÷ ( Time Held Ratio )
( Annualized Gross ROI ) = ( Gross ROI ) ÷ ( Time Held Ratio )
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Operating Income & Annual Return Analysis
Acquisition and Sale
Purchase Price
Value Appreciation
Time Held
Cost to Sell
Loan Percentage
Interest Rate
Loan Term
Property Income
Annual Increase
Monthly Rent
Other Income
Vacancy Rate
Management Fee
Annual Expenses
Annual Increase
Taxes
Total Insurance
HOA Dues
Maintenance
and Repairs
Other Costs
All Cash
Net Operating Income
IRR
$93,000
47.45%
Loan Wolf
Net Operating Income
IRR
$93,000
$58.87%
Long Term Rental First Year Analysis
All Cash
Hard Money Loan
Purchase Price
$285,000
$285,000
Down Payment
$57,000
Closing Costs
$2,850
$10,050
Total Investment
$287,850
$67,050
Monthly Income
$3,100
$3,100
Mortgage Payment
$922
Monthly Expenses
$650
$650
Monthly Cash Flow
$2,320
$1,398
Vacancy Rate
7%
7%
First Year Cash Flow
$25,891
$15,601
Cash on Cash Return
8.99%
23.27%
Analysis Breakdown
Closing Costs
$2,850
1% for Title Closing Costs
$2,850
Lender Closing Costs
$1,500
Origination Fee
$5,700
$2,850
Total
$10,050
First Year Cash Flow
12
Months
12
$36,000
Total Income
$36,000
$7,800
Total Expenses
$18,864
$2,520
Vacancy Loss
$2,520
$25,680
Total Cash Flow
$14,616
Cash on Cash Return
$25,680
Cash Flow
$14,616
$287,850
Total Investment
$67,050
8.99%
Cash on Cash Return
23.27%
Lifetime Return Summary
Returns Analysis
$412,000
Total Rental Income
$412,000
$319,000
Total Expenses
$72,000
$93,000
Net Operating Income
$57,000
Net Operating Income is the total revenue generated from the property subtracted by the total operating expenses for the property.
$93,000
Net Operating Income
$57,000
$519,000
Equity Accumulated
$319,000
$72,000
Cost To Sell
$72,000
$894,940
Total Profit when Sold
$804,760
The Total Profit for a given property after it is sold is the Net Operating Income plus the accumulated equity on the property subtracted by the cost of sale.
For the All Cash equity is the current value of the property, while the Hard Money loan equity is the current value subtracted by the balance remaining on the loan.
$894,940
Total Profit When Sold
$804,760
$262,000
Total Investment
$65,000
310.74%
Cash on Cash Return
1,341.27%
11.98%
Lifetime IRR
30.87%
The Cash on Cash Return is the Total Profit when sold divided by the Total Investment amount.
The Lifetime IRR is the calculated Internal Rate of Return of the property for the total number of years held.
The Internal Rate of Return above is the annual rate of growth that an investment property may generate using the user provided information.
IRR is very useful for capital budgeting analysis and for comparing the potential return rates of different properties over time.
Annual Breakdown
Year
Total Mortgage
Total Expenses
Total
Income
Cash Flow
Cash on Cash Return
Accumulated Equity
Cash from Sale
IRR
0
-$67,050
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Quick Calculator Deal Analyzers
Short Term Rental Quick Calculator
Short Term Rental
Gross Cost & Return Analysis
Loan Percentage
Purchase Price
Interest Rate
Closing Costs
Property Details
Utilities
Insurance
Taxes
Maintenance
Nightly Rate
Occupancy Rate
Loan Amount
$155,000
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Cost to Close
Hard Money
$43,945
Cost to Close
All Cash
$43,945
Monthly Loan Payment
$1,950
Total Monthly Payment
Hard Money
$43,945
Total Monthly Payment
All Cash
$43,945
Yearly Potential Gross ROI
HM
90.82%
Yearly Potential Gross Profit
HM
$49,973
Yearly Potential Gross ROI
AC
35.1%
Yearly Potential Gross Profit
AC
$70,200
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