Acquisition assumptions for Lombard
| Acquisition (85% of median) | $336K |
|---|---|
| Rehab budget (midpoint) | $103K |
| All-in cost | $438K |
| ARV | $485K |
Monthly cash flow model
| Monthly rent estimate | $4K |
|---|---|
| Property tax (DuPage County investor) | −$889 |
| Insurance | −$202 |
| Vacancy reserve (7%) | −$265 |
| Property management (8%) | −$303 |
| Maintenance reserve (6%) | −$227 |
| NOI (monthly) | $2K |
| DSCR refi (75% LTV / 7.5% / 30yr) | $364K / $3K P&I |
| Monthly cash flow | $-646 |
| Cash left in deal | $75K |
Takeaways for Lombard
Lombard is stable west suburban. Predictable margins. Modest investor competition.
Suburban BRRRR economics in Lombard lean differently than Chicago city neighborhoods: typically lower rent-to-price ratios but more stable end-buyer markets, more predictable rehab budgets, and lower effective tax rates than Cook County.
Lombard cash flow FAQ
Estimated monthly rent for a stabilized investment property in Lombard at the $485K median ARV is approximately $4K. Suburban rents typically run lower as a percentage of ARV than dense Chicago neighborhoods because property values include premium for suburban amenities (yards, garages, schools) that don't drive rent comparably.
Lombard is in DuPage County, which generally has lower effective property tax rates than Cook County for similar property types — material to BRRRR underwriting.
On this modeled estimate, a typical BRRRR project at the Lombard median ARV produces approximately $-646 per month in cash flow after debt service. Cash flow is negative on the modeled assumptions — appreciation must drive returns for BRRRR to work here.
Directional cash-flow model, not personalized investment advice. Validate every assumption against current market data.