1343 Dove St, Memphis, TN 38127

1343 Dove St, Memphis, TN 38127 is a 3-bedroom, 1-bath rental generating $2,589/month with a slight negative cash flow in Year 1 due to repairs and mortgage, but strong long-term returns. Including depreciation and 3% annual appreciation, the property offers a projected total return of ~27% in Year 1, increasing substantially over 10 years.

Description Amount

Line Item Amount
Gross Potential Rent (12 × $1,450) $17,400.00
Less: Vacancy (5% of $31,068) $1,553.40
Effective Gross Income ($31,068 – $1,553.40) $29,514.60

Operating Expenses
Management Fee (8% of $31,068) $2,485.44
Property Taxes ($1,092) $1,092.00
Repairs / Maintenance ($0 assumed) $0.00
Insurance, Utilities, etc. ($1,000) $1,000.00
Total Operating Expenses ($2,485.44 + $1,092 + $0 + $1,000) $4,577.44
Net Operating Income (NOI) ($29,514.60 – $4,577.44) $24,937.16

Debt Service (Mortgage P&I)
Loan amount (Purchase Price – Down Payment = $155,500 – $29,000) $116,000.00
Interest rate 8.00%
Term 30 years
Annual Mortgage Payment $10,214.00
Cash Flow Before Taxes / After Debt ($24,937.16 – $10,214) $14,723.16

Depreciation Deduction
Depreciable basis (80% of $155,500) $124,400.00
Depreciation period (27.5 yrs) 27.5
Annual depreciation ($124,400 ÷ 27.5) $4,218.18
Annual Appreciation (3% of $145,000 approx.) $4,350.00
Total Return (Year 1) (Cash Flow + Depreciation + Appreciation) $8,291.34
Cash Invested (Down Payment) $29,000.00
Cash-on-Cash Return (Year-1 CFBT ÷ Cash Invested) -0.96%
Total Return Rate (Total Return ÷ Cash Invested) 28.59%