Single Family Home
CORDOVA, TN 38016
4
2
2
2,544
192,500
Purchase Price
7.98% – 22.54
Avg. Annual Return
Property Summary
High end, fully renovated, tenanted & performing single family home investment property with positive monthly cash flow in one of the nicest areas of Memphis. Property features a 2 car garage, central AC & heat, granite countertops, walk in closets & a huge back yard with large back patio area.
Investment Details
Purchase Price$192,500.00
Year Built 2005
Cap Rate 6.77%
OccupancyOccupied
Monthly Rent$1,575
Property Taxes $1,944
Insurance $949
Management Fee8%
Area Description
Cordova is a community in Shelby County, lies on Memphis’ northeast side, north of Germantown, South of Bartlett, and northwest of Collierville. Cordova was a farming village east of Memphis with fewer than a dozen farms when it was founded in 1835. Cordova was renowned for the freshly cut flowers that were shipped to Memphis, Tennessee.
Investment Options
Cash Purchase Annual Return: 7.98%
Seller Financing Annual Return: 9.26%
Bank Financing Annual Return: 22.54%
Joint Venture (Bank)Annual Return: 18.52%
Joint Venture (Cash)Annual Return: 7.12%
Average Annual Return 7.98%
Monthly Cash Flow $1,086
Down Payment $180,000
Investment Summary: Investors purchase a property from OCG with all cash, fully renovated with a tenant and property management in place for a turn-key investment. Investor owns the property 100% with no split with OCG. The property is already rented and creating monthly cash flow for the investor.
| Estimated Market Value | $185,000 | $185,000 | $190,550 | $196,267 | $202,154 | $208,219 | $214,466 | $220,900 |
| Purchase Price | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 |
| MONTHLY | YEAR 1 | YEAR 2 | YEAR 3 | YEAR 4 | YEAR 5 | YEAR 6 | YEAR 7 | |
| RENTAL REVENUE | $1,575 | $18,900 | $19,467 | $20,051 | $20,653 | $21,272 | $21,910 | $22,568 |
| Vacancy Allowance (5%) | $79 | $945 | $973 | $1,003 | $1,033 | $1,064 | $1,096 | $1,128 |
| GROSS RENTAL REVENUE | $1,496 | $17,955 | $18,494 | $19,048 | $19,620 | $20,209 | $20,815 | $21,439 |
| OPERATIONAL EXPENSES | ||||||||
| Property Management (8%) | $120 | $1,436 | $1,479 | $1,524 | $1,570 | $1,617 | $1,665 | $1,715 |
| Property Taxes | $162 | $1,944 | $1,983 | $2,023 | $2,063 | $2,104 | $2,146 | $2,189 |
| Insurance | $79 | $949 | $968 | $987 | $1,007 | $1,027 | $1,048 | $1,069 |
| Repairs Allowance | $50 | $600 | $612 | $624 | $637 | $649 | $662 | $676 |
| TOTAL OPERATING EXPENSES | $411 | $4,929 | $5,042 | $5,158 | $5,276 | $5,398 | $5,522 | $5,649 |
| NET INCOME | $1,086 | $13,026 | $13,451 | $13,890 | $14,344 | $14,811 | $15,293 | $15,790 |
| CAP RATE | 7.24% | 7.24% | 7.47% | 7.72% | 7.97% | 8.23% | 8.50% | 8.77% |
| CASH ON CASH RETURN | 7.24% | 7.24% | 7.47% | 7.72% | 7.97% | 8.23% | 8.50% | 8.77% |
| AVERAGE ANNUAL RETURN | 7.24% | 7.24% | 7.35% | 7.48% | 7.60% | 7.72% | 7.85% | 7.98% |
| OPERATING EXPENSE RATIO | 26.08% | 26.08% | 25.90% | 25.72% | 25.55% | 25.37% | 25.20% | 25.03% |
| RENTAL INCREASE | 103% | |||||||
| EXPENSE INCREASE | 102% | |||||||
| APPRECIATION RATE | 103% |
Average Annual Return 9.26%
Monthly Cash Flow $540
Down Payment $120,250
Investment Summary: Investors purchase a property from OCG with 50% – 65% down, fully renovated with a tenant and property management in place for a turn-key investment. Investor owns the property 100% with no split with OCG. OCG acts as the lender and loans the additional 35% – 50% of the purchase price to the investor for 7 years at 6% – 8% depending upon the investment. The loan is amortized over 15 years so principal is being paid down as well on the loan. A balloon payment at the end of 7 years will be required to pay off the lender, however with a 15 year amortized loan the balloon payment is paid down by almost half of the original loan making the payoff much easier to afford.
| ESTIMATED MARKET VALUE | $185,000 | $185,000 | $190,550 | $196,267 | $202,154 | $208,219 | $214,466 | $220,900 |
| PURCHASE PRICE | $185,000 | $185,000 | $185,000 | $185,000 | $185,000 | $185,000 | $185,000 | $185,000 |
| DOWN PAYMENT (65%) | $120,250 | $120,250 | $120,250 | $120,250 | $120,250 | $120,250 | $120,250 | $120,250 |
| MONTHLY | YEAR 1 | YEAR 2 | YEAR 3 | YEAR 4 | YEAR 5 | YEAR 6 | YEAR 7 | |
| RENTAL REVENUE | $1,575 | $18,900 | $19,467 | $20,051 | $20,653 | $21,272 | $21,910 | $22,568 |
| Vacancy Allowance (5%) | $79 | $945 | $973 | $1,003 | $1,033 | $1,064 | $1,096 | $1,128 |
| GROSS RENTAL REVENUE | $1,496 | $17,955 | $18,494 | $19,048 | $19,620 | $20,209 | $20,815 | $21,439 |
| OPERATIONAL EXPENSES | ||||||||
| Property Management (8%) | $120 | $1,436 | $1,479 | $1,524 | $1,570 | $1,617 | $1,665 | $1,715 |
| Property Taxes | $162 | $1,944 | $1,983 | $2,023 | $2,063 | $2,104 | $2,146 | $2,189 |
| Insurance | $79 | $949 | $968 | $987 | $1,007 | $1,027 | $1,048 | $1,069 |
| Repairs Allowance | $50 | $600 | $612 | $624 | $637 | $649 | $662 | $676 |
| TOTAL OPERATING EXPENSES | $411 | $4,929 | $5,042 | $5,158 | $5,276 | $5,398 | $5,522 | $5,649 |
| NET INCOME | $1,086 | $13,026 | $13,451 | $13,890 | $14,344 | $14,811 | $15,293 | $15,790 |
| LOAN PAYMENT | $588 | $7,056 | $7,056 | $7,056 | $7,056 | $7,056 | $7,056 | $7,056 |
| NET CASH FLOW | $498 | $5,970 | $6,395 | $6,834 | $7,288 | $7,755 | $8,237 | $8,734 |
| LOAN BALANCE | $64,750 | $64,750 | $62,003 | $59,087 | $55,991 | $52,704 | $49,215 | $45,510 |
| PRINCIPAL REDUCTION | $229 | $2,747 | $2,916 | $3,096 | $3,287 | $3,489 | $3,705 | $3,933 |
| END OF YEAR LOAN BALANCE | $64,521 | $62,003 | $59,087 | $55,991 | $52,704 | $49,215 | $45,510 | $41,577 |
| CAP RATE | 7.04% | 7.04% | 7.27% | 7.51% | 7.75% | 8.01% | 8.27% | 8.54% |
| CASH ON CASH RETURN | 5.38% | 5.38% | 5.74% | 6.10% | 6.48% | 6.87% | 7.27% | 7.68% |
| PRINCIPAL REDUCTION RETURN | 2.28% | 2.28% | 2.42% | 2.57% | 2.73% | 2.90% | 3.08% | 3.27% |
| TOTAL RETURN ON INVESTMENT | 7.67% | 7.67% | 8.16% | 8.68% | 9.21% | 9.77% | 10.35% | 10.95% |
| AVERAGE ANNUAL RETURN | 7.67% | 7.67% | 7.92% | 8.09% | 8.43% | 8.70% | 8.97% | 9.26% |
| OPERATING EXPENSE RATIO | 26.08% | 26.08% | 25.90% | 25.72% | 25.55% | 25.37% | 25.20% | 25.03% |
| RENTAL INCREASE | 103% | |||||||
| EXPENSE INCREASE | 102% | |||||||
| APPRECIATION RATE | 103% | |||||||
| INTEREST RATE | 6% | |||||||
| LOAN TERM | 7 YEARS | |||||||
| AMORTIZATION | 15 YEARS | |||||||
| LOAN BALLOON | $41,577 |
Average Annual Return 22.54%
Monthly Cash Flow $346
Down Payment $36,000
Investment Summary: Investor purchases a property from OCG with 20% – 25% down, fully renovated with a tenant and property management in place for a turn-key investment. Investor owns the property 100% with no split with OCG. The investor qualifies for a bank loan for the remaining purchase price which typically is a 30 year fixed rate loan at a 4.5% – 5% interest rate. This strategy is great for long term wealth building.
| ESTIMATED MARKET VALUE | $185,000 | $185,000 | $190,550 | $196,267 | $202,154 | $208,219 | $214,466 | $185,000 |
| PURCHASE PRICE | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 | $180,000 |
| DOWN PAYMENT (20%) | $36,000 | $36,000 | $36,000 | $36,000 | $36,000 | $36,000 | $36,000 | $36,000 |
| MONTHLY | YEAR 1 | YEAR 2 | YEAR 3 | YEAR 4 | YEAR 5 | YEAR 6 | YEAR 7 | |
| RENTAL REVENUE | $1,575 | $18,900 | $19,467 | $20,051 | $20,653 | $21,272 | $21,910 | $22,568 |
| Vacancy Allowance (5%) | $79 | $945 | $973 | $1,003 | $1,033 | $1,064 | $1,096 | $1,128 |
| GROSS RENTAL REVENUE | $1,496 | $17,955 | $18,494 | $19,048 | $19,620 | $20,209 | $20,815 | $21,439 |
| OPERATIONAL EXPENSES | ||||||||
| Property Management (8%) | $120 | $1,436 | $1,479 | $1,524 | $1,570 | $1,617 | $1,665 | $1,715 |
| Property Taxes | $162 | $1,944 | $1,983 | $2,023 | $2,063 | $2,104 | $2,146 | $2,189 |
| Insurance | $79 | $949 | $968 | $987 | $1,007 | $1,027 | $1,048 | $1,069 |
| Repairs Allowance | $50 | $600 | $612 | $624 | $637 | $649 | $662 | $676 |
| TOTAL OPERATING EXPENSES | $411 | $4,929 | $5,042 | $5,158 | $5,276 | $5,398 | $5,522 | $5,649 |
| NET INCOME | $1,086 | $13,026 | $13,451 | $13,890 | $14,344 | $14,811 | $15,293 | $15,790 |
| LOAN PAYMENT | $740 | $8,880 | $8,880 | $8,880 | $8,880 | $8,880 | $8,880 | $8,880 |
| NET CASH FLOW | $346 | $4,146 | $4,571 | $5,010 | $5,464 | $5,931 | $6,413 | $6,910 |
| LOAN BALANCE | $144,000 | $144,000 | $141,728 | $139,349 | $136,857 | $134,247 | $131,514 | $128,652 |
| PRINCIPAL REDUCTION | $189 | $2,272 | $2,379 | $2,492 | $2,610 | $2,733 | $2,862 | $2,997 |
| END OF YEAR LOAN BALANCE | $143,811 | $141,728 | $139,349 | $136,857 | $134,247 | $131,514 | $128,652 | $125,655 |
| CAP RATE | 7.24% | 7.24% | 7.47% | 7.72% | 7.97% | 8.23% | 8.50% | 8.77% |
| CASH ON CASH RETURN | 11.52% | 11.52% | 12.70% | 13.92% | 15.18% | 16.47% | 17.81% | 19.20% |
| PRINCIPAL REDUCTION RETURN | 6.31% | 6.31% | 6.61% | 6.92% | 7.25% | 7.59% | 7.95% | 8.33% |
| TOTAL RETURN ON INVESTMENT | 17.83% | 17.83% | 19.31% | 20.84% | 22.43% | 24.07% | 25.76% | 27.52% |
| AVERAGE ANNUAL RETURN | 17.83% | 17.83% | 18.57% | 19.08% | 20.10% | 20.89% | 21.71% | 22.54% |
| OPERATING EXPENSE RATIO | 26.08% | 26.08% | 25.90% | 25.72% | 25.55% | 25.37% | 25.20% | 25.03% |
| RENTAL INCREASE | 103% | |||||||
| EXPENSE INCREASE | 102% | |||||||
| APPRECIATION RATE | 103% | |||||||
| INTEREST RATE | 4.625% | |||||||
| LOAN TERM | 30 YEARS | |||||||
| AMORTIZATION | 30 YEARS | |||||||
Average Annual Return 18.52%
Monthly Cash Flow $316
Down Payment $32,280
Investment Summary: Investors purchase a property from OCG at OCG’s cost and put 20% – 25% down as a down payment and qualify for traditional bank financing for the remaining cost. OCG helps manage the property managers on a monthly basis and the property manager remits the rental income checks directly to the investors so they can pay for the mortgage payment out of the rents. OCG and investor own the property 50% each. Investor gets 75% of the net positive cash flow paid out monthly and gets 50% of the equity upon sale. OCG brought existing equity to the table on the property as well as did all of the work to get it up and running including finding the property and purchasing it, renovating the property, and tenanting the property so it is completely turnkey.
| ESTIMATED MARKET VALUE | $185,000 | $185,000 | $190,550 | $196,267 | $202,154 | $208,219 | $214,466 | $220,900 |
| PURCHASE PRICE | $161,400 | $161,400 | $161,400 | $161,400 | $161,400 | $161,400 | $161,400 | $161,400 |
| DOWN PAYMENT (20%) | $32,280 | $32,280 | $32,280 | $32,280 | $32,280 | $32,280 | $32,280 | $32,280 |
| MONTHLY | YEAR 1 | YEAR 2 | YEAR 3 | YEAR 4 | YEAR 5 | YEAR 6 | YEAR 7 | |
| RENTAL REVENUE | $1,575 | $18,900 | $19,467 | $20,051 | $20,653 | $21,272 | $21,910 | $22,568 |
| Vacancy Allowance (5%) | $79 | $945 | $973 | $1,003 | $1,033 | $1,064 | $1,096 | $1,128 |
| GROSS RENTAL REVENUE | $1,496 | $17,955 | $18,494 | $19,048 | $19,620 | $20,209 | $20,815 | $21,439 |
| OPERATIONAL EXPENSES | ||||||||
| Property Management (8%) | $120 | $1,436 | $1,479 | $1,524 | $1,570 | $1,617 | $1,665 | $1,715 |
| Property Taxes | $162 | $1,944 | $1,983 | $2,023 | $2,063 | $2,104 | $2,146 | $2,189 |
| Insurance | $79 | $949 | $968 | $987 | $1,007 | $1,027 | $1,048 | $1,069 |
| Repairs Allowance | $50 | $600 | $612 | $624 | $637 | $649 | $662 | $676 |
| TOTAL OPERATING EXPENSES | $411 | $4,929 | $5,042 | $5,158 | $5,276 | $5,398 | $5,522 | $5,649 |
| NET INCOME | $1,086 | $13,026 | $13,451 | $13,890 | $14,344 | $14,811 | $15,293 | $15,790 |
| LOAN PAYMENT | $664 | $7,968 | $7,968 | $7,968 | $7,968 | $7,968 | $7,968 | $7,968 |
| NET CASH FLOW | $422 | $5,058 | $5,483 | $5,922 | $6,376 | $6,843 | $7,325 | $7,822 |
| OCG SPLIT (25%) | $105 | $1,264 | $1,371 | $1,481 | $1,594 | $1,711 | $1,831 | $1,956 |
| NET INVESTOR SPLIT | $316 | $3,793 | $4,112 | $4,442 | $4,782 | $5,132 | $5,494 | $5,867 |
| LOAN BALANCE | $129,120 | $129,120 | $127,083 | $124,949 | $122,715 | $120,375 | $117,925 | $115,359 |
| PRINCIPAL REDUCTION | $170 | $2,037 | $2,134 | $2,234 | $2,340 | $2,450 | $2,566 | $2,687 |
| END OF YEAR LOAN BALANCE | $128,950 | $127,083 | $124,949 | $122,715 | $120,375 | $117,925 | $115,359 | $112,672 |
| CAP RATE | 8.07% | 8.07% | 8.33% | 8.61% | 8.89% | 9.18% | 9.48% | 9.78% |
| CASH ON CASH RETURN | 11.75% | 11.75% | 12.74% | 13.76% | 14.81% | 15.90% | 17.02% | 18.17% |
| PRINCIPAL REDUCTION RETURN | 3.16% | 3.16% | 3.31% | 3.46% | 3.62% | 3.79% | 3.97% | 4.16% |
| TOTAL RETURN ON INVESTMENT | 14.91% | 14.91% | 16.05% | 17.22% | 18.44% | 19.69% | 20.99% | 22.34% |
| AVERAGE ANNUAL RETURN | 14.91% | 14.91% | 15.48% | 15.87% | 16.65% | 17.26% | 17.88% | 18.52% |
| OPERATING EXPENSE RATIO | 26.08% | 26.08% | 25.90% | 25.72% | 25.55% | 25.37% | 25.20% | 25.03% |
| RENTAL INCREASE | 103% | |||||||
| EXPENSE INCREASE | 102% | |||||||
| APPRECIATION RATE | 103% | |||||||
| INTEREST RATE | 4.625% | |||||||
| LOAN TERM | 30 YEARS | |||||||
| AMORTIZATION | 30 YEARS |
Average Annual Return 7.12%
Monthly Cash Flow $868
Down Payment $161,400
Investment Summary: Investors invest in a property with OCG at OCG’s cost and put up the cost of the investment. OCG helps manage the property managers on a monthly basis and the property manager remits the rental income checks directly to OCG and OCG pays investors thier share of the cash flow. OCG and investor own the property 50% each. Investor gets 75% – 80% of the net positive cash flow paid out monthly and gets 50% of the equity upon sale. OCG brought existing equity to the table on the property as well as did all of the work to get it up and running including finding the property and purchasing it, renovating the property, and tenanting the property so it is completely turnkey.
| ESTIMATED MARKET VALUE | $185,000 | $185,000 | $190,550 | $196,267 | $202,154 | $208,219 | $214,466 | $220,900 |
| PURCHASE PRICE | $161,400 | $161,400 | $161,400 | $161,400 | $161,400 | $161,400 | $161,400 | $161,400 |
| DOWN PAYMENT | $161,400 | $161,400 | $161,400 | $161,400 | $161,400 | $161,400 | $161,400 | $161,400 |
| MONTHLY | YEAR 1 | YEAR 2 | YEAR 3 | YEAR 4 | YEAR 5 | YEAR 6 | YEAR 7 | |
| RENTAL REVENUE | $1,575 | $18,900 | $19,467 | $20,051 | $20,653 | $21,272 | $21,910 | $22,568 |
| Vacancy Allowance (5%) | $79 | $945 | $973 | $1,003 | $1,033 | $1,064 | $1,096 | $1,128 |
| GROSS RENTAL REVENUE | $1,496 | $17,955 | $18,494 | $19,048 | $19,620 | $20,209 | $20,815 | $21,439 |
| OPERATIONAL EXPENSES | ||||||||
| Property Management (8%) | $120 | $1,436 | $1,479 | $1,524 | $1,570 | $1,617 | $1,665 | $1,715 |
| Property Taxes | $162 | $1,944 | $1,983 | $2,023 | $2,063 | $2,104 | $2,146 | $2,189 |
| Insurance | $79 | $949 | $968 | $987 | $1,007 | $1,027 | $1,048 | $1,069 |
| Repairs Allowance | $50 | $600 | $612 | $624 | $637 | $649 | $662 | $676 |
| TOTAL OPERATING EXPENSES | $411 | $4,929 | $5,042 | $5,158 | $5,276 | $5,398 | $5,522 | $5,649 |
| NET INCOME | $1,086 | $13,026 | $13,451 | $13,890 | $14,344 | $14,811 | $15,293 | $15,790 |
| OCG SPLIT (20%) | $217 | $2,605 | $2,690 | $2,778 | $2,869 | $2,962 | $3,059 | $3,158 |
| NET INVESTOR SPLIT | $868 | $10,420 | $10,761 | $11,112 | $11,475 | $11,849 | $12,234 | $12,632 |
| CAP RATE | 8.07% | 8.07% | 8.33% | 8.61% | 8.89% | 9.18% | 9.48% | 9.78% |
| CASH ON CASH RETURN | 6.46% | 6.46% | 6.67% | 6.88% | 7.11% | 7.34% | 7.58% | 7.83% |
| AVERAGE ANNUAL RETURN | 6.46% | 6.46% | 6.56% | 6.67% | 6.78% | 6.89% | 7.01% | 7.12% |
| OPERATING EXPENSE RATIO | 26.08% | 26.08% | 25.90% | 25.72% | 25.55% | 25.37% | 25.20% | 25.03% |
| RENTAL INCREASE | 103% | |||||||
| EXPENSE INCREASE | 102% | |||||||
| APPRECIATION RATE | 103% |
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