Financial information from the sale of this 4-Plex that SOLD in September, 2023
This 4-Unit property is located in West Centretown Ottawa, with 2 bachelor apartments and 2 1-bedroom units. The property was listed for $549,900 and sold for $525,000.
- Scheduled Rental Income was $46,290
- Effective Rental Income was $45,512
- Operating expenses of $10,696
- Total Operating Expenses, with 10% for maintenance/management $15,247
- Net operating income of $30,265
- Cap Rate was 5.76%
- Operating Expense Ratio was 33.5%
- Sold for 12 times the Gross Income
- Sold for 17 times the Net Income
With a 22% down payment of $115,500, this leaves a mortgage of $409,500. At a 5.5% rate, amortized over 25 years, the monthly mortgage payment would be $2,500, for an Annual Debt Service of $30,000 (this is the annual mortgage payment).
The final cash flow on this building was $265 and the ROI (return on investment) was 0.23%.