NC3 House Variables

The following are the variables that you can use when modeling Houses on the Nomad Calculator 3™.

You can enter in most of these variables when you add a new House and you can use Rules to modify these variables at different points in your Scenario. Variables that can only be edited when you enter the property are marked with Initial Only.

Account for Down Payment

This is the Account that you will use to get the down payment from.

Account for Income and Expenses

This is the Account that you will use to deposit all the income from the property and to withdraw any expenses for the property from.

Address Initial Only

The street address of the property or the short description of the property. If it is a property you actually own, you should use address. If it is a dynamic property that you might buy multiple versions of using the calculator it helps to describe the type of property instead of an address.

Appreciation Rate

The yearly appreciation rate that the property is going up in value. If appreciation rate is negative, then property is going down in value. The value is expecting a percent in the format 3.000 which would be 3% per year. Even though we ask for yearly appreciation rate, the property value does change monthly.

After Repair Value Initial Only

The value of the property at the time of purchase after initial repairs are made. This is most often the value of the property at time of purchase. If you're buying a property below market value, this is the market value of the property at time of purchase.

Capital Expenses Appreciation Rate

This is the yearly appreciation rate for the Monthly Capital Expenses on the property. The system is expecting a percent like 3.000 which means the Monthly Capital Expenses are increasing at a rate of 3% per year for this property.

City Initial Only

The city that the property is located in.

Closing Costs as Dollar

This is the dollar amount (used instead of Closing Costs as Percent) that you would pay as closing costs when you buy the property. The system is expecting a value as a dollar like 5000.00 which would be $5,000.00.

Closing Costs as Percent

This is the percent of the Purchase Price that you are paying in closing costs when you purchase the property. The system expects a value as a percent like 2.000 which would be 2% of the Purchase Price in closing costs.

Date Purchased Initial Only

The date you've purchased the property.

Date Sold Initial Only

The date you sold (or will sell) the property.

Down Payment as Dollar

This is the dollar amount (used instead of Down Payment as Percent) that you would use as the down payment when buying the property. The system expects a value in dollars in the format 60000.00 which would be $60,000 down payment.

Down Payment as Percent

This is the percent of the Purchase Price that you would use as your down payment for purchase. The system is expecting a value as a percent of Purchase Price in the format 20.000 which would be 20%.

Dynamic Property Initial Only

Is this property a Dynamic Property? Dynamic Properties are special types of properties that you can buy multiple versions of. For example, you might create a property based on a typical rental property in your market and make it a Dynamic Property so you can buy one each year as a Nomad when modeling your own specific situation.

Homeowner's Association (HOA)

This is the yearly homeowner's association fee for this property. The system expects a dollar amount here like 300.00 which would be an HOA fee of $300.00 per year.

HOA Appreciation Rate

This is the yearly appreciation rate for the HOA. A positive value means that the HOA expense is going up at that rate each year. A negative value means that the HOA fee is going down each year (which rarely... if ever... happens). The system expects a percent like 3.000 which means that the HOA is going up at a rate of 3% per year.

House Value

The value of the property in dollars. The system expects a value like 310000.00 which would be a property value of $310,000.00.

Land Value as Percent

This is the value of the land as a percent of the total value of the property. The system is expecting a percent in the format 20.000 which would mean that 20% of the value of the whole property is considered to be the value of the land. We use this primarily to determine the starting depreciation for the property at the time of purchase since you can not depreciate the value of the land (just the value of the building).

Loan Term in Months

This is how long your first mortgage is. In most cases people will be getting a 30 year mortgage and will use 360 months here, but you could change it if you're getting a loan with a different term. For example, if you're getting a 15 year mortgage, you'd use 180 months here.

Maintenance Rate

This is the percent of Monthly Rent that we set aside and use for maintenance on the property. The system expects a percent like 10.000 which would mean that we are setting aside 10% of the Monthly Rent collected to pay for maintenance on the property.

Monthly Capital Expenses (Cap Ex)

This is the dollar amount that we are setting aside and spending on capital expenses like a new roof, furnaces, hot water heaters, etc. The system expects a dollar amount like 137.00 which would be $137.00 per month set aside for capital expenses (Cap Ex) on the property each month.

Monthly Other Income

If you have other income from the property like income from on-site laundry, pet rent, fence rent, etc you can enter it here. The system is expecting a monthly dollar amount so 45.00 would might mean you're getting an extra $45.00 per month in pet rent.

Monthly Rent

The monthly rent you are getting or expect to get on the property. Expecting a dollar amount in the format 1800.00 for $1,800.00.

Monthly Utilities

This is the monthly utility cost that you, as the owner pay, for the property. If you have a property where the Tenant is responsible for utilities, this will often be zero. If you pay some of the utilities on the property, the system expects a dollar amount here like 125.00 which means your utilities expense on this property is $125.00 per month.

Months To Delay Collecting Rent

In some rare situations, you may be delayed in collecting rent on a property when you first buy it. For example, maybe you're buying a property that needs to be fixed up before you can rent it. In these cases you can set a delay that tells the system the number of months to wait until you start collecting rent on a new purchase. The system expects a whole number here like 4 would means that you will start collecting rent in month 5 of owning this property.

Mortgage Balance

The remaining amount owed on the first mortgage on the property in dollars.

Mortgage Interest Rate

The interest rate for your first mortgage on this property. It is expecting a percent in the format 4.000.

Nomad Property Initial Only

Is this property a property you will use as a Nomad where you move in and live there until you convert it a rental once you buy your next Nomad property? Nomad Properties are properties you live in and remain as an owner occupant property with no rent until you buy your next Nomad Property and rent out the previous one.

Other Monthly Income Appreciation Rate

This is the yearly appreciation rate for the Monthly Other Income. The system expects a percent like 3.000 which would mean that the Monthly Other Income is going up at a rate of 3% per year.

Other Monthly Expense 1 Appreciation Rate

This is the yearly appreciate rate for the Other Monthly Expense 1. The system expects a percent like 3.000 which would mean that the Other Monthly Expense 1 would be going up at a rate of 3% per year.

Other Monthly Expense 2 Appreciation Rate

This is the yearly appreciate rate for the Other Monthly Expense 2. The system expects a percent like 3.000 which would mean that the Other Monthly Expense 2 would be going up at a rate of 3% per year.

Other Monthly Expense 1

This is an additional monthly expense on the property. For example if you have a snow removal expense or lawn care expense that you're paying as the owner, you can add that here. In many cases you won't have this at all. The system expects a dollar amount like 45.00 which would be $45.00 per month.

Other Monthly Expense 2

This is an additional monthly expense on the property. For example if you have a snow removal expense or lawn care expense that you're paying as the owner, you can add that here. In many cases you won't have this at all. The system expects a dollar amount like 45.00 which would be $45.00 per month.

Owner Occupant

Is this a property you're going to live in and not rent out?

Property Insurance Rate

This is the percent of the, then current, House Value that you pay for property insurance each year. Property insurance is stored monthly but only updated either at the time of purchase or at each home buying anniversary to simulate getting a year-long insurance policy. The system expects to see a percent like .40 which would be .40% (less than 1% of the house value each year in property insurance.

Property Management Rate

This is the percent of Monthly Rent that we set aside and use for property management on the property if you're hiring a property manager or paying yourself for property management. The system expects a percent like 10.000 which would mean that we are setting aside 10% of the Monthly Rent collected to pay for property management on the property.

Property Taxes Rate

This is the percent of the, then current, House Value that you pay in property taxes. Property taxes are tracked monthly but only updated either at time of purchase or in January when taxes are reassessed. The system expects a percent like .065 which would be .065% (less than 1%) of the House Value paid out each year in property taxes.

Property Type

This allows us to specific whether a property is residential or commercial which we use when calculating depreciation.

Purchase Price Initial Only

The price you are paying for the property at time of purchase.

Rent Appreciation Rate

The yearly rent appreciation rate that the rent is going up each year. This is a percent and the system is expecting a value in the format of 3.000 for 3%. Negative values means the rent is going down that percent each year. The calculator does keep track of what the rent is each month, but only changes it for the property once a year to simulate a lease being renewed.

Rent Ready Costs

This is the amount of money you need to spend at the time of purchase to get the property in a condition where it is ready to rent. The system expects a dollar amount for this variable in the format 4500.00 which would mean that you need to spend about $4,500.00 to get the property ready to rent. This is additional money needed just after you buy the property in addition to your down payment and closing costs.

Seller Concessions as Dollar

This is the dollar amount (used instead of Seller Concessions as Percent) that the Seller is contributing toward your Closing Costs at the time of purchase. The system is expecting a value in dollars like 5000.00 which would be $5,000 toward your Closing Costs.

Seller Concessions as Percent

This is the percent of the Purchase Price that the Seller is contributing toward your Closing Costs. The system is expecting a percent in the format of 2.000 which would be 2% in seller concessions.

State Initial Only

The state that the property is located in. You can use a full name of the state like Colorado instead of just CO.

Utilities Appreciation Rate

This is the appreciation rate for the utilities expense on the property. The system expects a percent like 3.000 which would mean that the utilities will increase at a rate of 3% per year.

Vacancy Rate

This is the percent of time that the property is vacant. The system expects to see a percent like 3.000 which would mean you're only seeing 97% of your Monthly Rent after you take into account a 3% vacancy.

Zip Code Initial Only

The zip code that the property is located in.

It is important to realize that these are primarily input variables and not all the variables that we store based on the output from House.

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