The McLovin

Long Term Rental

bed: 5    bath: 3.5    sq ft: 2,933    year built: 2012

  • Investors

    276

  • Purchase Price

    $525,000

  • Property Leverage

    70%

  • Monthly Rent

    $3,045

  • Rental Status

    Rented

  • The McLovin is a spacious, sun-filled home with 5 bedroom, 3.5 bathroom home in the Reunion neighborhood. A bonus room at the front can be a home office or extra sitting room. The living room flows into the dine-in kitchen outfitted with sleek appliances, ample counter space, a tile backsplash, and a breakfast bar with room for seating. A sliding glass door leads out to the back patio and backyard oasis. The primary bedroom has an en suite bathroom and deep walk-in closet. A finished basement features a media room for movie night, a bedroom, and a bathroom. Additional highlights include an upstairs laundry closet with overhead storage, a loft that can be tailored to your needs, and an attached 2 car garage. Located near Reunion Park, trails, dining, and much more. Home is located in Commerce City, CO.

    Address: 10711 Truckee Cir, Commerce City, CO 80022

    Property Leverage & Volatility

    The potential financial returns you can earn are often linked to the potential risk and volatility. Adding leverage or debt to properties can amplify the potential return in exchange for higher potential volatility.

    Property Leverage

    70%

    Lower

    Higher

    Relative Volatility
    Relative to comparable properties on the Arrived platform, this property may carry higher potential for equity returns than similar rental homes with no leverage, but also carries higher potential for volatility given the amount of leverage used on the property.
    The Market

    Real estate values and returns are highly dependent on location. In general, properties in more affordable markets will have higher cash flow (potential dividends), and properties in more expensive markets will have higher appreciation. Arrived strives to give investors options to choose how much they invest in appreciation markets, cash flow markets, or balanced markets.

    The economy of the local city and market will dictate the potential returns of an investment. In general, some markets see high appreciation of home values, some have higher cash flow (dividends), and some have a mix of the two.

    Denver, CO

    Denver is the capital of Colorado and the most populous city in the state. The Denver-Aurora-Lakewood MSA has a population of over 2.9 million people, ranking 19th in the US. Denver has a well diversified economy. It’s a hub for storage and distribution due to its central location in the United States. The area has a significant presence in the energy sector, telecommunications, and technology. The Mile High City has a vibrant downtown and is popular for its livability. Denver is best known for its outdoor recreation with its proximity to the Rocky Mountains. The area is rich with cultural assets like museums, art galleries, bars and restaurants.

    Offering Details

    The Offering Details provide a breakdown of the financials for a specific property offering. The Offering Details show the operating plan for the property, including how the Raise Amount proceeds will be used. For transparency, we also like to share a breakdown of the Arrived fees. And if you're interested in more information, we also link to other resource documents that go into more depth around each offering.

    • Property Purchase Price

      $525,000

    • Property Improvements & Cash Reserves

      $25,960

    • Closing Costs, Offering Costs & Holding Costs

      $11,890

    • Arrived Sourcing Fee (One-time)

      $24,640

    Total Property Amount

    $587,490

    Property Loan Amount

    $367,500

    Financing: 70%

    Interest Rate: 3.875%


    Equity Raised from Investors

    $219,990

    • IPO Price Per Share

      $10

    • Total Shares

      21,999

    Hold Period

    5-7 years

    Arrived AUM Fee (Quarterly)

    $550

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    Common Questions

    Arrived acquires rental properties into an LLC and sells shares in that LLC to the general public. Arrived then manages the day to day operations including finding tenants and completing repairs.Investors receive cash dividends from rental income each quarter and capture any property value appreciation.

    Investing in Arrived rental homes can deliver returns to investors in two different ways: 1) property value growth & 2) rental income. While we cannot predict future returns, below are historic returns that can be helpful.

    1) Property value growth: Any property value appreciation can result in increased investment value for the investor. Over the last 20 years, single family homes in the USA have appreciated an average of 4.0% per year. That means that for a property with a 65% mortgage loan, the home equity value increased an average of 4.9% per year. For a home without a mortgage loan, the home equity value increase would average 2.3% per year. These returns include transaction & disposition fees and assumes the investment is held for 10 years.

    2) Rental income: Historically, Arrived properties have paid cash dividends from rental income that translate to 2.4% - 7.9% annual returns on investment. The rental income you receive will be proportional to your ownership in the property.

    In summary adding both the property value growth & the rental income, we see that investing in rental homes has historically resulted in returns on investment between 4.7% - 12.8% per year. It is important to note that past performance may not be indicative of future results.

    Learn More

    We are currently focused on marketing the rental homes to prospective tenants and will email you when a new lease has been signed. Arrived's strategy for seeking tenants is focused on signing 2 year leases, achieving market rent, and thoroughly vetting applicants. Though it may take a bit more time to lease out the homes, we believe these standards provide our investors the best way to maximize returns over the long term.

    Learn More

    With real estate, it can be beneficial to invest in multiple properties and markets to achieve portfolio diversification. Diversifying your portfolio can be a good way to reduce exposure to risk from an individual property, tenant, or market forces.

    Arrived strives to give investors the opportunity to build wealth. This is best done by holding onto Arrived shares over multiple years, as real estate returns are maximized when treated as a long-term investment. While we encourage investors to hold onto their Arrived shares, we allow investors the freedom to redeem their shares and liquidate their investments on a quarterly basis. This redemption request can be made after an initial 6-month hold period. Disclaimer: During this time, Arrived cannot guarantee any redemption will be possible, although we intend to launch a full redemption program soon. Arrived has filed the planned redemption program with the U.S, Securities & Exchange Commission (SEC) and it is currently under review for Qualification. Arrived will not be able to support redemption requests until the program is reviewed and qualified. This review is still pending and we will updated this FAQ as soon as it is complete. There may be fees associated with share redemption. For risk factors and disclaimer information, you can review our communications disclaimer.

    Don't know which property to choose?

    No need to worry, all Arrived rental properties go through our rigorous selection process and have been pre-vetted for their investment potential by our acquisitions team (more info). Rather than focusing on selecting individual properties to invest in, many Arrived investors simply distribute their investment across several available properties to achieve portfolio diversification.

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    Other Questions?
    Visit our help center

    $219,990

    invested