RentalCalcs · Georgia apartment research · October 18, 2026

Separate Atlanta in-place and stabilized sale income

Use actual property documents. Inputs remain in this page; nothing is submitted. Print or save a completed PDF before closing; entries are not persisted. This is an investor worksheet, not an appraisal or lender application.

Georgia report

Property, city and countyEvidence checked on

1. Match the cap and income basis

A low in-place cap can be the price of anticipated income recovery. Before calling it cheap, fund the work and rent loss required to achieve that income, then compare an exit using the same NOI convention.

Closed sale, close date, geography, asset class, price and NOI conventionEvidence gaps and adjustments required before using this sale

2. Complete the local decision checks

Atlanta: a low current yield may buy a future income plan

Build three columns: trailing collected NOI, buyer year-one NOI and stabilized NOI after separately funded work. Reconcile the quoted comparable cap to the right column before applying it to the subject.

Document obtained / date / unresolved assumption

Far North, Far East and outer suburbs: stabilization can create competing sales

Map comparable projects by actual unit mix, school/work access and all-in effective rent. Put the subject’s lease expirations beside competitors’ delivery and concession windows, then budget turnover and acquisition cash through that overlap.

Document obtained / date / unresolved assumption

Savannah: high vacancy can persist while units are absorbed

Request two local apartment closings with an explicit income basis, commercial coverage terms, a flood determination and a building-specific capital plan. Do not use a short-term lodging income stream as a conventional apartment comparable.

Document obtained / date / unresolved assumption

Augusta: a newer sale supplies a cohort check, not a cap

Obtain the actual sale income convention and identify recurring owner obligations. For the subject, inspect roof and mechanical replacements, expense recoveries and lease seasoning before setting the maximum offer.

Document obtained / date / unresolved assumption

3. Reconcile income and buyer costs

Scheduled annual rent ($)Other recurring income ($)Vacancy, concessions and bad debt ($)Effective income ($)Buyer property taxes ($/year)Insurance ($/year)Management ($/year)Recurring repairs ($/year)Owner utilities ($/year)Payroll / contracts / administration ($/year)Total recurring costs ($/year)NOI = effective income minus recurring costs ($/year)

Georgia DOR generally describes assessment at 40% of fair market value; that is an assessment ratio, not a 40% tax rate. Obtain the county valuation and every applicable millage or fee. Owner-occupied homestead benefits are not an apartment-investor assumption; verify buyer eligibility rather than copying the seller bill.

Obtain commercial property, liability and loss-of-rents quotes with coverage, deductible and replacement-cost terms. For a coastal acquisition, separately establish flood/wind protection and restoration cash. The illustrative insurance line below is neither a regulator-approved premium nor evidence that a particular peril is covered.

Buyer tax estimate, quoted coverage, deductible and recurring-cost evidence

4. Price, debt, reserves and cash

Purchase price ($)Going-in cap = NOI ÷ price × 100 (%)Loan ($)Rate (%) / amortization years / feesAnnual debt service ($)Replacement reserve below NOI ($/year)Initial capital work ($)Closing costs ($)Cash invested = price − loan + closing + work ($)Cash flow = NOI − debt − reserve ($/year)Cash-on-cash = cash flow ÷ invested cash × 100 (%)DSCR and lender reserve convention

5. Test the state-specific thesis

Separate Atlanta in-place and stabilized sale income
Fund the subject’s concession and capital-work bridge
Test buyer tax and insurance costs before the exit multiple

Exit annual NOI ($)Exit cap (%)Gross value = NOI ÷ (cap ÷ 100) ($)Debt payoff / selling costs / taxes ($)

Observed evidence that would invalidate the income or cap thesis

Reconciled reference: assumptions, not a local quote

24 units × $1,450 monthly × 12 = $417,600 scheduled rent; $41,760 loss (10%) leaves $375,840 effective income. Recurring expenses $195,840 leave $180,000 NOI. At $3,000,000 price, cap is 6.00%.

$1,650,000 loan at assumed 6.75%, 30-year monthly amortization gives $128,422 annual debt service. After $14,400 reserve, annual cash is $37,178. Down payment $1,350,000 + closing $90,000 + work $180,000 = $1,620,000 invested; 2.29% cash-on-cash before tax.

This deliberately separates a renovation cash use from a recurring buyer-cost shock. It is not an Atlanta cap estimate. Adding $15,000 recurring costs lowers annual NOI and cash by that amount; at an unchanged cap the gross value loss is $250,000. The gross-value test excludes loan payoff, selling costs, taxes and interim cash flow.

Original RentalCalcs worksheet. Sources, scope and refresh triggers. No cap is assigned to an uncovered market.