RentalCalcs · North Carolina apartment research · October 18, 2026

Separate Charlotte, Raleigh and Durham sale cohorts

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.

North Carolina report

Property, city and countyEvidence checked on

1. Match the cap and income basis

Keep the cap evidence, leasing evidence and buyer liquidity separate. Charlotte’s stable reported yield does not establish a Durham exit, and a Triad change from an unspecified peak cannot be turned into a current cap range.

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

Charlotte: stable caps with thin price discovery

Request close dates, lender proceeds and trailing rather than merely advertised NOI. For York County comparables, rebuild taxes under South Carolina rules instead of importing a North Carolina expense ratio.

Document obtained / date / unresolved assumption

Raleigh and Durham: do not price a weaker leasing side from the stronger sale side

Separate Raleigh and Durham comparables, inspect monthly income after concessions, and calculate carry until seasoning. Do not back-solve cap from the reported sale-price median without the actual NOI.

Document obtained / date / unresolved assumption

South Cary / Apex: tighter vacancy is useful, but permitting is an early warning

Build a dated pipeline list with financing/construction status and the subject’s lease expirations. Compare the proposed renovated rent with the full effective cost of a newer alternative, including fees and free rent.

Document obtained / date / unresolved assumption

Greensboro and Winston-Salem: the exit buyer pool belongs in the model

Keep Greensboro and Winston-Salem sales separate. Obtain local lender sizing, an aged capital-needs schedule and a sale-timing downside. Never add a reported change to an unknown historical cap and present the result as measured current evidence.

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)

North Carolina county reappraisal cycles and adopted county/municipal rates matter. DOR says a general reappraisal must occur at least every eight years; a county may act sooner. Obtain the subject’s current assessed value, next cycle and all applicable tax districts. Neither sale price nor an unchanged seller bill automatically predicts the buyer’s future bill.

NC DOI’s flood guidance distinguishes flood protection from ordinary property coverage. Obtain a commercial quote and separate flood determination, deductibles, restoration terms and lost-rent coverage; a homeowner policy example is not proof of apartment coverage. For an older acquisition, price actual repair and utility obligations rather than copying a new-building expense ratio.

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 Charlotte, Raleigh and Durham sale cohorts
Match project delivery and renewal dates to collected rent
Budget reappraisal, covered risks and time to sell

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

18 units × $1,500 monthly × 12 = $324,000 scheduled rent; $32,400 loss (10%) leaves $291,600 effective income. Recurring expenses $159,600 leave $132,000 NOI. At $2,400,000 price, cap is 5.50%.

$1,320,000 loan at assumed 6.6%, 30-year monthly amortization gives $101,164 annual debt service. After $10,800 reserve, annual cash is $20,036. Down payment $1,080,000 + closing $72,000 + work $144,000 = $1,296,000 invested; 1.55% cash-on-cash before tax.

Test a reappraisal and coverage-cost increase before treating a smaller acquisition’s rent recovery as free cash. Adding $12,000 recurring costs lowers annual NOI and cash by that amount; at an unchanged cap the gross value loss is $218,182. 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.