4037 Red Bird Dr Indianapolis, IN 46222
  • $68,285
  •  
Rent Payment Guarantee
Have peace of mind and consistent cash flow with the Roofstock Rent Payment Guarantee. These vacant properties come with up to 12 continuous months of guaranteed rent payments from Roofstock, giving you and your property manager time to select the right tenant. Terms and conditions apply, see property pages for details.
  • Count on steady rental income for the first year of ownership
  • Choose your own tenant
  • No upfront costs to you
  • This property is currently vacant.
Terms and conditions apply
Current Rent | Market Rent | Custom
The values are total monthly rent for all units.

Current Rent: Monthly rent under current lease.

Market Rent: Estimate of monthly rent if the property was leased in the current rental market.

Custom Rent: Your own rent input in the Assumptions section below.
$0.82/sf
$725
Unlevered Cash Flow
First year net cash flow received after all operating expenses, capital expenditures, property taxes, and assuming 5% vacancy and no debt.
 
$5,127
Appreciation
Annual appreciation percentage is adjusted based on the selection in Manage Assumptions section below.
 
0.9%
Gross Yield
Monthly rent x 12 months, divided by purchase price.
 
12.7%
Unlevered Net Yield
Annual net operating income minus capital expenditures, divided by purchase price. Assuming 5% vacancy and no debt.
 
7.5%
Levered IRR
A measure of annualized net return on an equity investment. Equals the discount rate at which the sum of the present value of all cash flows is zero. Calculation based on values in Manage Assumptions, 5 year hold period, 3% annual rent growth, and estimated disposition fees of 3.5%.
 
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About This Roof

3D Tour
3D Model
Curb View
  • High Gross Yield
  • Tenant is scheduled to move in on September 21, 2017
  • Less than 6 miles from Downtown Indianapolis
  • Near Riverside Golf Course
  • Year Built: 1956
  • Sq Ft: 888
  • Bedrooms: 3
  • Flood Risk:
    X
    Flood insurance policy is not required.

    For additional information click here.
  • Lot Size: 9,191
  • HOA: none
  • Bathrooms: 1

Rent Guarantee Program Summary

Enjoy immediate cash flow while reducing leasing risk. This vacant property comes with up to 12 continuous months of guaranteed rent payments from Roofstock, giving you and your property manager time to select the right tenant. Roofstock will also pay your property manager’s initial leasing fee.

How you benefits

  • Count on steady rental income for the first year of ownership
  • Choose your own tenant
  • No upfront costs to you

Terms and Conditions

  • You must use a Roofstock certified property manager during the term of the guarantee.
  • The guaranteed rent paid by Roofstock will equal 90% of the estimated market rent at the time of closing, as determined by your property manager.
  • This guarantee is non-transferable.
  • The guarantee starts on the first full calendar month following the closing of the sale of the property.
  • This guarantee will end at the earlier of: (1) when the property is initially leased by your property manager and the tenant moves into the property or (2) 12 months from the first day of the first full calendar month following the closing of the property.
  • Roofstock may terminate this offer at any time.

Schools

Lease and Tenant Summary

Property Management Options

Investment Terms

Property Location

Map Data
Map data ©2017 Google
Map DataMap data ©2017 Google
Map data ©2017 Google

Roofstock Certified

This property is Certified.
The Roofstock Certification Process:
  1. A property inspection conducted by an experienced national inspection firm
  2. Property valuation and rental market analysis to ensure properties are priced fairly
  3. An estimate of the cost of major repairs
  4. Preliminary title report with no uninsurable encumbrances or liens and preliminary title commitments, where applicable
  5. Review and summarize key lease terms including monthly rent, lease-end date, security deposit, and utility responsibility
  6. Review tenant payment history to determine that they have adhered to the lease with timely payments
  7. Home disclosure reports that summarize any local risks including natural hazards and local crime rates
  8. Certified property managers, vetted by Roofstock, that are experts in the local area
The Roofstock valuation range represents the highest and lowest adjusted values for comparable properties to a certified property selected by Roofstock and analyzed by the HouseCanary model. The highest and lowest adjusted values used for the range and the adjusted comparable value are based upon at least 3 properties sold within the past 12 months and that are the most similar to the property in location, size, condition, age, style, and design, as selected by Roofstock and valued by the HouseCanary model. If a HouseCanary comparable value is not available for a certified property, the Roofstock valuation range is based upon a calculated weighted average of the valuation reports for a certified property with the width of the range being the combined precision of all valuation reports. All valuation reports can be found in the diligence vault.
  • Property Valuation:
    $38,000 - $68,000
  • Estimated Market Rent: $750
  • Roofstock performs two types of inspections in our certification process. Our standard inspection is an Interior and Exterior Inspection. In some circumstances we provide an Exterior Only Inspection at the time of listing. The Exterior Only Inspection covers most of the major structural elements of the house, and the interior portion of the inspection will be completed after signing the Purchase & Sale Agreement (PSA) and prior to the close of escrow. The PSA will include an Inspection Contingency, which allows the buyer to cancel the contract if the Interior Inspection uncovers material issues with the house.
    Inspection Report:
    Inspection: Interior & Exterior
    Estimated Repairs: $520
  • Title status shows whether there is any title remediation that must take place prior to closing on the property.

    ‘Clear' indicates that there are no outstanding issues with title; 'Clearance at Closing' indicates that there may be minor issues that the title company will remediate prior to closing.
    Title: Clearance at Closing
Diligence Vault
Full Property Analysis
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Manage Assumptions

Operating Expenses
Expenses Summary
Property Management 8.0%
Leasing Commissions 0.0%
Taxes / HOA / Insurance 21.1%
R&M / CapEx 12.0%

Total 41.1%

Operating Expenses are estimated annual expenses divided by your assumed total annual rent, while also assuming a vacancy factor of 5%. These expenses are estimates provided as a reference; actual expense levels may vary and will depend on several factors including specifics of any tax assessments, insurance coverage levels, property location, actual repair and maintenance costs and other factors.

41%
Monthly Rent
Note that on average about 70-80% of operating expenses are not impacted by the amount of rent, so consider decreasing your assumed Operating Expenses percentage accordingly if you are assuming a higher rent.
$725
Closing Costs & Misc
Includes an estimate of acquisition closing costs for a typical transaction. Adjust higher or lower for specific circumstances or to include contingency for unforeseen costs and expenses, or points to buy-down interest rate.
1.50%
Use Rent:

Use Appreciation:

Financial Pro Forma

Based on market rent.
Initial Year Year 1 Year 2 Year 3 Year 4 Year 5
REVENUE
Gross Rent $8,700 $8,961 $9,230 $9,507 $9,792
Economic Vacancy Factor $0 -$448 -$461 -$475 -$490
Net Revenue $8,700 $8,513 $8,768 $9,031 $9,302
OPERATING EXPENSES
Property Management -$696 -$681 -$701 -$723 -$744
Leasing Fees $0 -$224 -$231 -$238 -$245
HOA Fees $0 $0 $0 $0 $0
Property Taxes -$1,419 -$1,432 -$1,445 -$1,458 -$1,471
Insurance -$414 -$417 -$421 -$425 -$429
Repairs & Maintenance -$609 -$596 -$614 -$632 -$651
Capital Expenditures -$435 -$426 -$438 -$452 -$465
Total Expenses -$3,573 -$3,776 -$3,850 -$3,927 -$4,005
TOTAL OPERATING CASH FLOW $5,127 $4,737 $4,918 $5,105 $5,297
PROPERTY PURCHASE AND SALE
Purchase / Sale Price -$68,285 $71,424
Acquisition Fees / Closing Costs -$1,024
Contingency $0
Disposition Fees / Closing Costs -$2,500
Net Purchase / Sale Proceeds -$69,309 $68,924
FINANCING
Down Payment -$17,071
Loan Fees -$683
Loan Payments $0 $0 $0 $0 $0
Loan Balance - - - - - -
Total Financing / Debt Service Cash Flows -$17,754 $0 $0 $0 $0 $0
RETURN
Unlevered Cash Flow -$69,309 $5,127 $4,737 $4,918 $5,105 $74,222
Levered Cash Flow -$69,992 $0 $0 $0 $0 $0
Unlevered IRR 7.2%
Levered IRR -
Initial Year Year 1 Year 2 Year 3 Year 4 Year 5
ASSUMPTIONS
Purchase Price $68,285
Down Payment 25.0%
Interest Rate 4.625%
Loan Term (yr) 30
Rent $725
Rent Growth - 3.0% 3.0% 3.0% 3.0% 3.0%
Home Price Appreciation 0.9% 0.9% 0.9% 0.9% 0.9%
Vacancy Rate - 0.0% 5.0% 5.0% 5.0% 5.0%
Property Management Fee 8.0%
Leasing Commissions 0.0%
Insurance Cost (rel to prop value) 4.8%
Property Tax 16.3%
R&M 7.0%
CapEx 5.0%
Acquisition Costs 1.5%
Initial Capital Costs 0.0%
Disposition Costs 3.5%
Loan Fees 1.0%

This Financial Pro Forma is provided to you for general guidance purposes only. It is an estimate of possible financial return on your real estate investment and may not be indicative of your actual financial results. The numbers are based upon calculations using (i) the numbers you input by adjusting your online Property Assumptions sliders. (ii) numbers you share with Roofstock Advisors and (iii) numbers based upon general financial and economic averages, assumptions and conditions in the real estate industry.

Financial and real estate market conditions as well as economic drivers such as interest rates, inflation and taxation are subject to rapid fluctuations and financial returns will differ in each local geographic market.

This Financial Pro Forma is not to be used as a financial plan and not intended as part of a solicitation to purchase specific investment properties.

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