Financial information from the sale of this 5-Plex that SOLD in August, 2023
This 5-Unit property is located in Rural South Ottawa, with two 1-bedroom units and three 2-bedroom units. The property was listed for $995,000 and sold for $985,000.
- Scheduled Rental Income was $76,908
- Effective Rental Income was $74,601
- Operating expenses of $22,350
- Total Operating Expenses, with 10% for maintenance/management $29,810
- Net operating income of $44,791
- Cap Rate was 4.55%
- Operating Expense Ratio was 40.0%
- Sold for 13 times the Gross Income
- Sold for 22 times the Net Income
With an 38% down payment of $374,300, this leaves a mortgage of $610,700. At a 5.5% rate, amortized over 25 years, the monthly mortgage payment would be $3,728, for an Annual Debt Service of $44,736 (this is the annual mortgage payment).
The final cash flow on this building was $55 and the ROI (return on investment) was 0.01%.