Rogue Solutions LLC
Search by typing & pressing enter

YOUR CART

Sample Small Deal - Perfect for Investors with Self-Directed IRA

Property:
3-family property with some student housing in college town.  
C+ property in a B area. 
 
Town:  
Smaller college town 20 minutes outside larger metropolitan area, population increasing at rate of 4%. 
Rogue Solutions likes to invest in college towns because:
  • Unlike businesses, established colleges rarely close or move,
  • Colleges provide stable employment,
  • Colleges normally raise the price of their student housing anywhere from 1.5% - 4.5% per year, so off-campus rents can be raised as well,
  • Students can get financial aid to cover the cost of their off-campus housing,
  • Parents of undergraduate students can co-sign the lease.

Deal Details:

Initial purchase price = $134,000, based on NOI of $14,700 and a CAP rate of 11
$  33,500 = 25% down payment 
$    6,500 = closing costs
$100,500 = mortgage, amortized 30 years at 6.5%
Picture
Picture
Powered by Create your own unique website with customizable templates.