Feasibility Analysis Villager II					01-Feb-02
Assume 75% Mortgage, 6% interest rate, ten year selling period
The Villager - Maple Leaf Design and Construction
Basis of analysis - build at cost for retention - not sale
Two lots available on Porcupine Trail - same analysis for each lot
Raised bungalow	1350	sq. ft. total with attached single garage
Upper floor	660	sq. ft.	finished
Lower floor	516	sq. ft.	finished
	174	sq. ft.	unfinished
Soft costs
construction	8%	of total hard costs
design	2%	of total hard costs
Estimated Budget Items
Lot Cost		$34,000
Well		$0	installed
Septic Field		$9,000
Driveway and Culvert		$1,500	includes city charge $840.
Asphalt		$1,100
Deck		$1,000
DCs	city	$4,500	needs update
	region	$1,608	needs update
	schools	$444	needs update
	address	$40	needs update
Building Permit		$1,019	$10.50	/$1,000 H.C.+$40/fixture
Hard Construction		$65.00	cost per sq. ft. finished upper floor
		$40.00	cost per sq. ft. finished lower floor
		$15.00	cost per unfinished lower floor
Garage		$8,000	single	bay
Total Hard Construction Cost		$74,150
Site Super/Labour	$2,500	$3,750	3	months
Profit Margin	6%	$4,449		50%	half time
Soft Cost Construction		$5,932.00
Soft Cost design		$1,483
Marketing Cost		$0
Appliances	w/d (2 sets)	$2,500	stove (1), Fridge (1), Bar Fridge (1),
	Total costs	$154,595	Microwave (2), Toaster Oven (1)
Total  Area	1350	sq. ft.
Cost per sq. ft. "All in"		$114.51
Estimated appraisal value		$177,784	115%	of total costs
Mortgage Amount		$133,337.82	75%
Investment required to construct		$21,256.75	Equity Required
Rent Upper Floor		$875.00
Rent Lower Level		$575.00
Annual Rent		$16,530.00	5%	vacancy
Maintenance and Admin		($495.90)	3%
Net Annual Rent		$16,034.10
Taxes - Carmen was$1853. In 2001
use $1.55 per sq. ft. - add		$1,860.00	per yr.	$155.00	per mo.
Net Net Annual Rent		$14,174.10
Mortgage Payment		($9,840.17)	6%	25	years
Net Income		$4,333.93
ROE		20%	pa.
Year			Mortgage	$133,337.82
0		$      (21,256.75)		Interest	Principal
1		$4,333.93		($8,000.27)	$1,839.90
2		$4,333.93		($7,854.45)	$1,985.72
3		$4,333.93		($7,699.88)	$2,140.29
4		$4,333.93		($7,536.04)	$2,304.13
5		$4,333.93		($7,362.37)	$2,477.80
6		$4,333.93		($7,178.28)	$2,661.89
7		$4,333.93		($6,983.14)	$2,857.03
8		$4,333.93		($6,776.29)	$3,063.88
9		$4,333.93		($6,557.03)	$3,283.14
10		$67,894.02		($6,324.62)	$3,515.55
			Total	($72,272.37)	$26,129.33
Selling price	1.00%	inflation	$   170,768.59
Mortgage Balance owing after ten years			$107,208.49
Ten Year IRR		26%
					factor
Monthly payment required to carry					/$1000
Principal and Interest on mortgage		$1,108.17	5.0%	25yr	5.82
together with Taxes and return		$1,146.83	5.5%	25yr	6.11
on investment from above.		$1,185.50	6.0%	25yr	6.4
		$1,225.50	6.5%	25yr	6.7
		$1,266.84	7.0%	25yr	7.01
Monthly ROI on Invested at 10%		$177.14