Property under contract
123 Sub2 Test St, Birmingham AL
Saved 5/21/2026, 10:40:03 AM · ID 9
$210,000
Cash to close: $30,000
Rate advantage
This deal includes an existing mortgage at 5.00% vs current market 6.36% — a savings of ~$98/mo vs new financing.
Existing mortgage (taken over)
| Loan balance | $120,000 |
| Interest rate | 5.00% |
| Remaining amortization | 25 years |
| Monthly payment | $702 |
Seller carryback note (assumed)
| Note balance | $60,000 |
| Interest rate | 5.00% |
| Amortization | 30 years |
| Monthly payment | $322 |
Monthly cash flow (projected)
| Gross rent | $2,200 |
| Vacancy | ($110) |
| Effective rent | $2,090 |
| Property tax | ($250) |
| Insurance | ($120) |
| Management | ($167) |
| Maintenance reserve | ($110) |
| Sub2 P&I | ($702) |
| Carryback P&I | ($322) |
| Monthly cash flow | $419 |
Returns
Annual cash flow
$5,030
Cash-on-cash
16.8%
Cash to close
$30,000
Disclosure
Due-on-sale clause: The existing mortgage contains a standard due-on-sale provision. While banks rarely call performing loans, this is a known risk in subject-to acquisitions. Buyers should plan refinance contingencies accordingly.