How to calculate the return on investment of American real estate rental?

Generally, American developers will give the data of "estimated rent" or "conservative rent" of some projects. In fact, compared with the rent estimation of investment-oriented real estate in the United States, it is more convenient and accurate to inquire about the historical rent records of houses or the rent situation of similar houses around them.

The following is an example analysis.

The house was built in 2007, with a price of 380,000 US dollars. It is beautifully decorated, while the rent for the surrounding one-bedroom apartment is between 1 400-2 1 38.

The rental of the house is estimated to be 1885 USD.

From this, we can estimate that the conservative rental income after purchasing this property is $65,438+0,900/month.

2. Consideration of the vacant period of the house

Generally speaking, the law of renting houses in the United States is: the vacant period of apartments is less than 2 weeks, and the vacant period of villas is about 1 month. Because this house is next to Amazon headquarters, there is a strong demand for rental. If the rent is reasonable, the vacant time will generally not exceed one week. Therefore, the annual rent after renting a house is:1900 *11.75 = $22,325.

3. Consider the annual expenditure of the House of Representatives.

Generally, the cost of holding real estate includes: property tax, property management fee, maintenance fee, home insurance, rental commission (charged in most parts of the United States), house management fee, etc.

Take the above property as an example.

House/property tax

The 20 15 property tax of this house is $2 104.

Property management fee

Some houses will provide accurate property fee information (HOA). Generally, the property fee for apartments in the United States is between $200 and $500 per month, and the property fee for villas is even lower, generally between $50 and $200 per month. The property management fee of the house is USD 465,438+USD 065,438+USD 0/month and USD 4,932/year.

Maintenance fee, home insurance

Maintenance fees and home insurance should be calculated according to the specific old and new conditions of the house and the age of the house. Generally, the maintenance cost and housing insurance cost of newer apartments are relatively low. The annual maintenance and insurance cost of the house is estimated at $800/year.

Rent commission

Rental commission is the fee paid to the broker who helps the homeowner rent a house. In the United States, except Boston, Cambridge, Manhattan, new york and other cities with strong rental demand, the commission fee is usually paid by the owner. The cost calculation is usually half a month or one month's rent. You need to pay the broker 1900 dollars.

House management fee

Housing management fee and rental commission shall be paid separately. The housing management company will regularly inspect the rented houses, maintain the houses, and charge rent, which is generally 8%- 10% of the annual rent. The management fee of the house is 8% of the annual rent, 22,325 USD * 8% = 65,438 USD +0786.

Therefore, the annual rent after purchasing this house is 2104+4932+800+1900+1786 = $11522.

4.？ Calculation of actual rental rate of return

Rental return rate = annual net rental surplus/house purchase expenditure

In the United States, when buying second-hand houses, the extra tax generated by housing transactions is about 0.8% of the house price. Therefore, if the house is purchased for lease investment, the annual rental net income ratio is:

Net rental yield = (22325-11522)/(380000 *1.08) = 2.63%.

However, there are also differences in net rental returns in different regions of the United States. For example, the return rate in Boston will be higher than that in other big cities. However, it should be noted that although the overall net rental return rate in the United States will be slightly higher than that in domestic first-tier cities, it will also be slightly lower than the annualized income of domestic wealth management products. If you see some properties whose so-called net rental income exceeds 10%, you should think carefully.

(The above information comes from foreign home purchase network)