Traditional Rental
$33,020
Net Yearly Income After Expenses
ROI: 3.48%
ROI: 3.48%
- Purchase Price (cash): $950,000
- Rent: $4,500/month
- Management Fee: 12% ($6,480/year)
- Property Taxes & Insurance: $10,000/year
- Realtor Fee: One Month’s Rent ($4,500/year)
Bower & Kip Model
$52,100
Net Yearly Income After Expenses
ROI: 5.48%
ROI: 5.48%
- Purchase Price (cash): $950,000
- Rent: $4,800/month
- No Management Fee
- Property Taxes & Insurance: $10,000/year
- Saved Realtor Fee: $4,500/year