RentalCalcs Editorial · utah-2026-10-19-v1 · Reviewed 2026-10-19

Utah: evidence to offer worksheet

Free property worksheet. Entries remain in this browser page and are not submitted or saved. Print or save your completed worksheet before closing. The worked example is hypothetical, not a property quote or market forecast.

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1. Match the evidence

The range spans 90 basis points but says nothing about the number of properties at either end. Underwrite an older small building against similar sales and a new leased-up community against stabilized institutional comparables. A midpoint would conceal those different buyer pools. Neither this range nor one year’s average is a promised exit yield.

2. Complete the local document checks

Downtown Salt Lake City: underwrite the lease-up overlap

Obtain a unit-level concession ledger, signed renewal offers and the opening dates of directly competing projects. Model the leasing shortfall as cash required before stabilization.

South Jordan/Riverton and Provo/Orem: test the boundary of recovery

Map competing properties by bedroom mix and commute, document move-in incentives, and compare achieved renewal rent with the seller’s proposed rent. Keep student leases separate from conventional annual leases.

Ogden, Logan and older private-buyer stock

Reconcile roof, sewer, heating and electrical work with inspection findings and invoices. Request actual comparable closing income before assigning an Ogden or Logan exit cap.

The residential exemption is an underwriting document

Obtain the assessment card, eligibility/declaration record, applicable local levy and a dated explanation of post-transfer filing requirements from the county.

3. Reconcile the buyer budget

Worked example · annual dollars except acquisition amounts
ItemExample
Purchase price$3,200,000
Scheduled annual rent$384,000
Other recurring income$6,000
Collection / concession / vacancy loss-$30,000
Effective income$360,000
taxes$40,000
insurance$18,000
utilities$18,000
maintenance$28,000
management$22,000
administration$10,000
Recurring expense total$136,000
NOI before debt and reserve$224,000
Annual debt service$145,628
Annual replacement reserve$10,000
Cash after debt and reserve$68,372
Down payment + closing + initial work$1,464,000

Loan $1,920,000 at an assumed 6.5% for 30 years, monthly amortization. Going-in cap 7.00%; DSCR 1.54× before reserve, 1.47× after reserve; cash-on-cash 4.67%. Cash basis excludes an initial reserve deposit; add any lender-required deposit. No loan quote is implied.

4. Test the exit and invalidate the thesis

Value = annual NOI ÷ (cap percent ÷ 100). Keep cumulative NOI change separate from annual rent growth. A simple value comparison excludes debt payoff, sale costs, income tax and interim cash flows.

Separate the leasing deficit

Build a monthly cash calendar through competing project openings; identify which concessions reduce current collections and which renewals support the next-year NOI.

Replace the seller’s cost basis

Insert buyer taxes, bound insurance terms, professional management and actual repair contracts. Keep initial work and replacement reserve outside cap NOI.

Price two independent risks

Stress lower collected NOI and a wider exit cap together. Keep financing and stabilization cash in the acquisition budget rather than hiding them inside the cap rate.

Evidence ledger