Financial information from the sale of this 6-Plex that SOLD in August, 2023
This 6-Unit property is located in West Ottawa, with 2 1-bedroom units, and 4 2-bedroom units. The property was listed for $1,549,000 and sold for $1,435,000.
- Scheduled Rental Income was $77,100
- Effective Rental Income was $74,787
- Operating expenses of $27,488
- Total Operating Expenses, with 10% for maintenance/management $34,967
- Net operating income of $39,820
- Cap Rate was 2.77%
- Operating Expense Ratio was 46.8%
- Sold for 19 times the Gross Income
- Sold for 36 times the Net Income
With a 63% down payment of $904,050, this leaves a mortgage of $530,950. At a 5.5% rate, amortized over 25 years, the monthly mortgage payment would be $3,241, for an Annual Debt Service of $38,892 (this is the annual mortgage payment).
The final cash flow on this building was $928 and the ROI (return on investment) was 0.10%.
