Financial information from the sale of this 7-Unit that SOLD in October, 2023

This 7-Unit property is located in Central Ottawa, with 6 1-bedroom units and 1 2-bedroom unit. The property was listed for $1,300,000 and sold for $1,200,000.

  • Scheduled Rental Income was $79,131
  • Effective Rental Income was $76,757
  • Operating expenses of $44,663
  • Total Operating Expenses, with 10% for maintenance/management $52,339
  • Net operating income of $24,418
  • Cap Rate was 2.03%
  • Operating Expense Ratio was 68.2%
  • Sold for 16 times the Gross Income
  • Sold for 49 times the Net Income

With a 74% down payment of $888,000, this leaves a mortgage of $312,000. At a 6% rate, amortized over 25 years, the monthly mortgage payment would be $1,997, for an Annual Debt Service of $23,964 (this is the annual mortgage payment).

The final cash flow on this building was $454 and the ROI (return on investment) was 0.05%.