1. Debt coverage ratio - net operating income/ annual debt service

2. Gross rent multiplier -Market price/ potential gross income

3. Break even ratio -  Operating expenses + debt service/ Effective gross income   

4. Operating ration - operating expense/effective gross income

5. Net income multipliers  -  Market price/net operating income

Gross rental Income

 $ 148,516.00

Other Income

 $                  -  

Vacancy Loss

 $7,426.00

Effective Gross Income

 $ 141,090.00

Taxes

$6,956.00

Operating Expense

$44,947.00

Total Expenses

$51,903.00

Net Operating Income

$89,187.00

The fifth property is located at 2922 Hoyt Ave, Everett, WA 98201 and features an apartment complex with 15 units for a total of $749,000. The property is located minutes from new Everett water front development, navy base, downtown shopping and a bus line. The property is near the Boeing Everett factory, located 25 miles from Seattle, and 35 minutes away from restaurants, bars, and coffee shops with a walk score of 94.  The expected cost of purchase is 606,690 $ (Purchase price $749,000 - Down payment $149,800 closing cost + $7490). The monthly payment is $4,715, which consist of principal and interest $3,986, property tax $662 and insurance of $67. For the annual payment, $4,715 is multiplied by 12 to get the expected annual payment of $56,580.

Purchase price $749,0000

Expected cos to of purchase $606,690

Monthly payment $4715

Annual payment 56,580