Vacation Rental w/Instant Equity

Palm Springs, CA

Bedrooms: 4, Bathrooms: 3.0, Sqft: 1798, Lot Size: 11326, Year Built: 1963

Notes

Prime OFF MARKET home in Palm Springs! This home is located in the highly desirable "Tahquitz River Estates" area of South Palm Springs. Palm Springs is red-hot with renowned festivals, eateries, and world-class museums! Surrounded by Million dollar homes this house is definitely in good company. With a lot of the boring work already done, new roof, new HVAC, and a new electrical panel you won't run into surprises. So, functionality has been taken care of, now it's up to you for the cosmetics. You have plenty of yard to be creative with, the 11,326 square foot lot provides stunning views with tons of entertaining space. The home checks all the Palm Springs boxes to get the biggest bank for your buck, now it's just up to you to bring this great property back to life and cash in the big check! Hope to see you in the next couple of days!
Molino1

Financial Summary

Project Costs

Purchase Price
$399,000
Purchase Costs
$4,490
Rehab Costs
$90,934
Rehab Contingency (10%)
$9,093
Rehab Holding Costs
$52,622
Total Project Costs
$556,140
Financing
($450,028)
Cash out of Pocket
$106,112
Rehab Project Length
9 Month(s)

Project Returns

Sales Price
$713,078
Project Costs
($556,140)
Sale Costs
($67,828)
Profit Amount
$89,110
Hard money loan Partner Share (5.00%)
$4,456
Remaining Share
$84,655
ROI
83.98%
ROR
111.97%
Unlevered ROI
16.02%
Unlevered ROR
21.36%

Comps

AddressBedsBathsSqftSold ($)$/sqftSale date
Palm Springs, CA32.01816$575,000$3172016-10-13
Palm Springs, CA32.01456$575,000$3952017-01-19
Palm Springs, CA32.01225$550,000$4492016-12-07
Palm Springs, CA32.01225$487,700$3982016-10-21
Average $/sqft:$390 

CMA Summary

Adjusted ARV

$713,078

Adjusted ARV $/sqft

$397

Average ARV

$700,613

Average ARV $/sqft

$390


CMA Detail

BasicsSubjectComparable Comparable Comparable Comparable
Molino1Iseg5bd4t2r75s1000000000Isaxvrbq10q3261000000000Ismmjg64a9lvk80000000000Isust6h89f9x5n0000000000
AddressPalm Springs, CAPalm Springs, CAPalm Springs, CAPalm Springs, CAPalm Springs, CA
Sold Date2015-07-272016-10-132017-01-192016-12-072016-10-21
Sold $$349,000$575,000$575,000$550,000$487,700
Sqft1,7981,8161,4561,2251,225
$/sqft$194$317$395$449$398
Features
Feature Values
UnitsUnitsAdjustmentUnitsAdjustmentUnitsAdjustmentUnitsAdjustment
Bedrooms
$10,0004.003.00$10,0003.00$10,0003.00$10,0003.00$10,000
Bathrooms
$5,0003.002.00$5,0002.00$5,0002.00$5,0002.00$5,000
Garage spaces
$02.000.00$02.00$00.00$00.00$0
Carport spaces
$00.000.00$00.00$00.00$00.00$0
Lot size sqft
$200,00011,326.0010,454.00$4,00410,890.00$2,0029,583.00$8,00310,454.00$4,004
Pool
$10,0000.001.00($10,000)1.00($10,000)1.00($10,000)1.00($10,000)
Adj Subtotal$9,004$7,002$13,003$9,004
Adj $/sqft$397$322$400$460$405
ARV $$713,078$584,004$582,002$563,003$496,704
Notes

Purchase Costs

NameTypeCost
Inspection$ Amount$500
Closing1.00 % of Purchase$3,990
Total Purchase Costs:$4,490

Sale Costs

NameTypeCost
Commission6.00 % of Sale$42,785
Broker Fee$ Amount$300
Closing Costs1.00 % of Sale$7,131
Buyer's Closing Costs2.00 % of Sale$14,262
Title Insurance$ Amount$350
Staging$ Amount$2,500
Photography$ Amount$500
Total Sale Costs:$67,828

OpEx: Utilities & Periodic Costs

Annual Expense Growth Rate: 3.0%

NameSetup ($)Amount ($/period)Cost
Property Taxes$0$7,000/ Year$5,250
Property Management$010.00 % of Receipts$4,050
Water$0$50/Month$450
Electric$0$100/Month$900
Gas$0$50/Month$450
Alarm$500$30/Month$770
Total OpEx Costs:$11,870

Loans

NameAmount Financed ($)Rate (%)PointsFeesTermTotal of Payments
Hard money loan.

An interest only purchase loan for the financing of custom amount

$350,00010.00%2.00$0280 Days$33,250
Rehab costs loan.

An interest only purchase loan for the financing of rehab costs

$100,02810.00%0.00$0280 Days$7,502
Total Payments:$40,752

Detailed Rehab Estimate

ItemQtyCost

Rough Carpentry

Rough Carpentry, Changes to Walls and Ceilings, Remove and replace interior partition wall, 2" x 6" stud walls with 1/2" gypsum drywall both sides, ready for painting, Cost per running foot, 8' high wall
50.0 LF @ $43.14$2,157.00
Rough Carpentry, Changes to Walls and Ceilings, Remove and replace exterior wall, 2" x 6" stud walls with drywall interior, wood siding exterior, same construction as above, except with 6-1/4" R-19 insulation, Cost per running foot, 8' high wall
10.0 LF @ $56.30$563.00
Rough Carpentry Subtotal:$2,720.00

Roofing and Flashing

Roofing and Flashing, Slate and Tile Roofing, Roofing tile, clay, Red clay mission tile, 2-piece, 86 pans and 86 tops per square, 7-1/2" x 18" x 8-1/2" tiles at 11" centers and 15" exposure, Red clay tile
30.0 Sq @ $570.18$17,105.40
Roofing and Flashing Subtotal:$17,105.40

Floors and Tile

Floors and Tile, Wood Strip and Plank Flooring, Bruce oak solid hardwood strip flooring, Gunstock (eastern)
1600.0 Square Feet @ $9.34$14,944.00
Floors and Tile Subtotal:$14,944.00

Kitchens

Kitchens, Custom Countertops, Engineered stone countertops, Large dark chips, 3/4" square edge
0.0 Square Feet @ $63.79$0.00
Kitchens, Dishwashers, 13-cycle stainless steel interior dishwasher, Jenn-Air, Dishwasher
1.0 Each @ $811.41$811.41
Kitchens, Mounted Microwave Ovens, 1.4 cubic foot over-the-range microwave oven, Stainless
1.0 Each @ $278.26$278.26
Kitchens, Wall Ovens, 30" electric double wall oven, Choice of finishes
1.0 Each @ $1,903.52$1,903.52
Kitchens, Cooktops, 30" gas cooktop, Maytag, No
1.0 Each @ $827.22$827.22
Kitchens, Stainless Steel Sinks, Stainless steel single bowl sink, Signature Series, Elkay, 33" x 22", 18 gauge
1.0 Each @ $235.21$235.21
Kitchens, Custom Countertops, Solid surface countertops, Color Group 3, Premium edge
40.0 Square Feet @ $80.51$3,220.40
Kitchens, Kitchen Cabinets, Finished Kitchen Cabinets, Oak finished wall cabinets, 30" wide x 18" high, 2 doors
15.0 Each @ $160.34$2,405.10
Kitchens, Kitchen Cabinets, Finished Kitchen Cabinets, Oak finished base cabinets, 18" wide, 3-drawer base
20.0 Each @ $282.74$5,654.80
Kitchens, Range Hoods, Custom range hood power package, 700 CFM, dual blowers, 7" duct, 1.5 to 4.6 sones, 48" wide x 28" deep
1.0 Each @ $914.33$914.33
Kitchens Subtotal:$16,250.25

Plumbing and HVAC

Plumbing and HVAC, Gas Water Heaters, 75-gallon gas water heater, 70,000 Btu, Low-NOx
1.0 Each @ $2,793.88$2,793.88
Plumbing and HVAC, Heating System Renovations, Gas wall furnace, 60,000 Btu, pilot ignition
1.0 Each @ $1,127.10$1,127.10
Plumbing and HVAC Subtotal:$3,920.98

Electrical

Electrical, Lighting Fixtures, Glass chandelier, 6 light, brushed nickel
1.0 Each @ $299.47$299.47
Electrical, Recessed Lighting, Recessed low-voltage slot aperture light kit, remodel, Commercial Electric, 4", white slot aperture trim
20.0 Each @ $92.41$1,848.20
Electrical, Ceiling Fans, San Marino(tm) ceiling fan with light kit, Hampton Bay(tm), 36", brushed steel
5.0 Each @ $136.17$680.85
Electrical Subtotal:$2,828.52

Porches and Decks

Porches and Decks, Post and beam wood deck, Based on rectangular 12' x 10' deck with railing on four sides and stairway, 24" above ground level, With 2" Thompsonized plank
300.0 Square Feet @ $20.31$6,093.00
Porches and Decks, Pool and Spa Replastering, Pool replastering and resetting pool fixtures, Deep color plaster aggregate
30.0 LF @ $59.46$1,783.80
Porches and Decks Subtotal:$7,876.80

Painting and Finishing

Painting and Finishing, Labor Estimates for Painting, Cost to repaint a home exterior, Repaint a home exterior, per 100 SF of floor
20.0 100 Square Feet @ $97.51$1,950.20
Painting and Finishing, Labor Estimates for Painting, Cost to repaint a home interior, Repaint a home interior, per 100 SF of floor
20.0 100 Square Feet @ $136.37$2,727.40
Painting and Finishing Subtotal:$4,677.60

Other

Project management
1.0 Each @ $2,000.00$2,000.00
Other Subtotal:$2,000.00

Setup

General contractor markup
20.00 %$15,155.70
Materials sales tax
7.00 %$3,454.97
Total Cost:$90,934.23