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The Financing :

• In the Casper, Wyoming area, investment properties are selling in the 10 to 12 times Gross Annual Rent range.  In this example I am using 10.5 as the GRM.
• In this example, the owner will carry 70% of the purchase price as a first mortgage attached to the properties.  The interest rate is 7.75% with monthly principal and interest payments of $4,170.38.
• The balloon payment of $507,995.16 is due March 1, 2025.
• The first year Principal pay down is $5,109.20