southwest side · cash flow modeling

Garfield Ridge Cash Flow Analysis

BRRRR and long-term rental cash-flow modeling for Garfield Ridge investor properties at the neighborhood median.

This analysis models a typical BRRRR project in Garfield Ridge at the neighborhood median ARV of $335K. Real-world projects vary substantially based on property type, condition, and submarket dynamics.

Acquisition and rehab assumptions

Acquisition price (85% of median)$225K
Rehab budget (midpoint)$80K
All-in cost$305K
After-Repair Value (ARV)$335K

Monthly cash flow model

Estimated monthly rent$3K
Property tax (Cook County investor classification)−$698
Insurance−$140
Vacancy reserve (7%)−$199
Property management (8%)−$228
Maintenance reserve (6%)−$171
Net Operating Income (monthly)$1K
DSCR refi at 75% LTV / 7.5% / 30yr$251K loan, $2K P&I
Monthly cash flow after debt service$-345
Cash left in deal after refinance$54K

What this tells us about Garfield Ridge

At the Garfield Ridge median, a typical BRRRR project produces approximately $-345 per month in cash flow after a 75% LTV DSCR refinance. With approximately $54K remaining in the deal after refinance, this represents a -8% cash-on-cash return on the remaining capital — before appreciation.

Garfield Ridge benefits from Midway Airport employment base and Orange Line access. Bungalow flips are reliable. Modest investor competition.

How this scales across Garfield Ridge

Garfield Ridge's housing stock includes bungalow, Georgian, single-family. Multi-unit properties (2-flat, 3-flat) typically produce 30–60% higher gross rent than single-family at similar ARVs but carry higher tax burdens and management overhead. Single-family rehabs often have stronger exit liquidity (owner-occupant buyers) but lower cash flow.

Sensitivity considerations

  • Rent assumption: Modeled at ~0.85% of ARV. Actual rents in Garfield Ridge range from 0.6–1.0% depending on property type and condition.
  • Property tax: Modeled at 2.5% of ARV for Cook County investor classification. Successful tax appeal can reduce this 15–30%.
  • Interest rate: DSCR refi rates currently range 7.5–9.5% depending on borrower profile and leverage. A 1% rate change moves monthly cash flow by approximately $100–200 on this deal size.
  • Rehab budget: Modeled at midpoint of $40K–$120K. Common considerations on Garfield Ridge housing stock (aging mechanicals, kitchen/bath updates) can push budgets higher.

Garfield Ridge cash flow FAQ

What's the typical monthly rent in Garfield Ridge?

Estimated monthly rent for a stabilized investment property in Garfield Ridge at the $335K median ARV level is approximately $3K per month — a rough rule-of-thumb estimate at ~0.85% of ARV. Actual rents vary significantly by property type (bungalow, Georgian, single-family) and condition.

Does BRRRR pencil in Garfield Ridge?

On these estimates, a typical BRRRR project at the Garfield Ridge median ARV produces approximately $-345 per month in cash flow after debt service (at 75% LTV DSCR refi, 7.5% rate, 30-year amortization). Cash left in the deal after refinance: $54K. Individual deals vary substantially.

What's the typical property tax burden in Garfield Ridge?

For a property in Garfield Ridge valued at the median ARV of $335K, expect approximately $8K in annual property tax (Cook County investor-classification, before exemptions and appeals). Chicago city properties were reassessed in 2024 — many neighborhoods saw material assessment increases.

What rent-to-price ratio does Garfield Ridge typically support?

Garfield Ridge typically supports a rent-to-price ratio in the 0.6%-0.9% range depending on property type and condition. Multi-unit properties (2-flat, 3-flat) generally produce higher ratios than single-family. The 1% rule rarely applies in Chicago neighborhoods — but BRRRR works at lower ratios when appreciation supports it.

This is a directional cash-flow model, not personalized financial advice. Rent estimates, tax rates, and refinance terms are illustrative. Validate every assumption with current market data and your own underwriting before committing capital.

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