ENC-03
Encanto · Phoenix, AZ 85006 · Multifamily · 6 doors
- Asking
- $955,000
- Est. rent / mo
- $8,400
- Est. cap rate
- 6.60%
- Est. cash-on-cash
- 2.77%
- Est. DSCR
- 1.13
- Rent / price
- 0.880%
- $ / sq ft
- $228
- Est. cash flow / mo
- $607
At the baseline set: 25% down, 6.75%, 30-year amortisation. Estimates.
Representative stock photography of Phoenix-metro residential product. These are not photographs of this asset — there is no such asset. This panel publishes a code and a submarket and nothing finer, because a plausible house number on a real street is a real house, and putting an invented price under a photograph of one is the thing this whole demonstration exists to avoid.
The read
Six-door garden walk-up close to the central employment core. The largest asset in the panel and the only one where a single vacancy costs under 17% of gross.
- Six 1/1 units
- Roof replaced 2021
- On-site laundry
- Gated parking court
Facts
| Property type | Multifamily |
|---|---|
| Units | 6 |
| Bedrooms / bathrooms | 6 / 6 |
| Living area | 4,180 sq ft |
| Lot | 14,375 sq ft |
| Year built | 1970 (56 yrs) |
| Stories | 1 |
| Parking | Covered, 8 spaces |
| Panel code | ENC-03 |
| Location | Encanto, Phoenix 85006 |
| Property tax / yr | $5,540 |
|---|---|
| Insurance / yr | $4,110 |
| HOA / mo | None |
| Other fixed / yr | $3,120 |
| Total est. operating / yr | $31,720 |
| HVAC installed | 2018 |
| Roof installed | 2021 |
| Water provider | City of Phoenix |
| FEMA flood zone | Zone X |
Underwrite it
Every figure below recomputes as you move an input. Nothing is rounded until it is printed, and operating expenses never include debt service — that separation is what makes the cap rate a property of the building and the cash-on-cash a property of your deal. All outputs are estimates.
Monthly cash flow
+$607
after debt service, before tax
Cap rate
6.60%
NOI ÷ purchase price
Cash-on-cash
2.77%
cash flow ÷ cash invested
DSCR
1.13
NOI ÷ annual debt service
Where the gross rent goes
- Vacancy$6,048
- Operating$31,720
- Debt service$55,747
- Cash flow$7,285
| Gross scheduled income | $100,800 |
|---|---|
| Less vacancy & credit loss | −$6,048 |
| Effective gross income | $94,752 |
| Less fixed operating | −$12,770 |
| Less variable operating | −$18,950 |
| Net operating income | $63,032 |
| Less annual debt service | −$55,747 |
| Pre-tax cash flow | $7,285 |
| Loan amount | $716,250 |
| Monthly principal & interest | $4,646 |
| Cash invested | $262,625 |
| Operating expense ratio | 33.5% |
| Break-even occupancy | 86.8% |
| Gross rent multiplier | 9.5 |
| Rent-to-price ratio | 0.880% |
Estimated figures produced by a model from the assumptions on the left. Not an offer, an appraisal, a loan quote or investment advice. Taxes, insurance and operating expenses are estimates; verify each before you commit capital.
What it would have to cost
The asking price against three solved thresholds
Rent and every operating line held exactly as stated; only the purchase price moves. Each mark is the price that solves one condition. Nothing here is a price history: this asset has none, and inventing one would be the easiest dishonest thing on the page.
| Condition | Price | vs ask | What it means |
|---|---|---|---|
| Current asking price | $955,000 | — | The number on the panel. Everything below is measured against it. |
| DSCR 1.00 | $1,080,000 | +13.1% | net operating income exactly covers the mortgage; cash flow is zero |
| Leverage turns (5.84%) | $1,080,000 | +13.1% | above this cap rate the loan adds to the return instead of subtracting from it |
Asking price carried on the submarket index
The current asking price projected backwards on the Encanto median-price index. Arithmetic on two synthetic series — not an appraisal, not a price history and not a record of any transaction.
| Month | Index-adjusted ask |
|---|---|
| Oct 2024 | $894K |
| Nov 2024 | $897K |
| Dec 2024 | $903K |
| Jan 2025 | $911K |
| Feb 2025 | $922K |
| Mar 2025 | $929K |
| Apr 2025 | $930K |
| May 2025 | $925K |
| Jun 2025 | $913K |
| Jul 2025 | $905K |
| Aug 2025 | $903K |
| Sep 2025 | $906K |
| Oct 2025 | $914K |
| Nov 2025 | $924K |
| Dec 2025 | $932K |
| Jan 2026 | $936K |
| Feb 2026 | $935K |
| Mar 2026 | $930K |
| Apr 2026 | $928K |
| May 2026 | $931K |
| Jun 2026 | $938K |
| Jul 2026 | $948K |
| Aug 2026 | $953K |
| Sep 2026 | $955K |
Comparables
Rent is compared per unit, which is the only fair basis across a house and a fourplex. The subject sits 5.3% above the median of its five closest comparables.
| Asset | Submarket | Proximity | Ask | Sq ft | $ / sq ft |
|---|---|---|---|---|---|
| ENC-03 Subject | Encanto | — | $955,000 | 4,180 | $228 |
| GLC-06 | Glendale Central | Elsewhere in metro | $1,035,000 | 5,120 | $202 |
Sensitivity
What a five-percent move in price or fifty basis points on the rate does to the return. Computed at the baseline assumption set, not at whatever you have set the calculator to — it is a fixed reference.
Sensitivity — cash-on-cash by price and rate
Every other assumption held at the baseline set. A fixed reference, not tied to the calculator above. Estimates.
| Price \ Rate | 5.75% | 6.25% | 6.75% | 7.25% | 7.75% |
|---|---|---|---|---|---|
| $878,500−8% | 7.0% | 5.9% | 4.9% | 3.8% | 2.6% |
| $917,000−4% | 5.9% | 4.8% | 3.8% | 2.7% | 1.5% |
| $955,000ask | 4.9% | 3.8% | 2.8% | 1.7% | 0.6% |
| $993,000+4% | 4.0% | 2.9% | 1.9% | 0.8% | -0.4% |
| $1,031,500+8% | 3.1% | 2.1% | 1.0% | -0.1% | -1.2% |
Cash-on-cash-1.2% → 7.0%
What to check before you commit
HVAC
Condenser installed 2018, 8 years old. Inside normal service life for this climate, so the CapEx reserve carries it rather than a year-one line item.
Roof
Roof dates to 2021, 5 years old — inside the window most carriers will write without a surcharge.
Flood
FEMA Zone X. Outside the mapped special flood hazard area; a lender will not require separate flood coverage.
Water allocation
Served by City of Phoenix. Long-run Colorado River and Central Arizona Project allocation is a genuine risk to price on the metro’s growth edges over a 10-to-20 year hold. It is a discount-rate question, not a next-quarter question.
No HOA
No association. Nothing constrains rental use at the community level, and there is no fixed monthly charge in the expense line.