Tools > Sample Loan Calculation
Sample Loan Calculation
Income and expense analysis:Gross Income from Rents + $100,000 (GI)
Gross Income from other income + $3,500 (GI other)
Gross Income from all sources $103,500 (GPI)
Vacancy and collection loss 7.5% $7,762
Rent concessions $1,000
Effective Gross Income $94,738 (EGI)
Expenses
Fixed
- Taxes
- Insurance
- Management off-site (3-5%) of EGI
- On-site manager-per unit or % of GPI
- Utilities
- Maintenance/repairs
- Administrative
- Legal
Capital Improvements (one time major expense)
Total Expenses $36,000
Net Operating Income (NOI)= $58,738 (NOI)
NOI-$58,738/l.25:1 DSCR=$46,990 Income available for debt
If I now have $46,990 available for a loan and using a 6.00% interest rate with a 30-year amortization the Lender can support a loan of approximately $653,128 (rounded).