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Vivian Koyama founded in Your Home, Inc ( IYH ) just ten years ago when she was having trouble finding in - home support services
Vivian Koyama founded in Your Home, Inc IYH just ten years ago when she was having trouble finding inhome support services for her aging parents. She struggleed because her parents wished to stay in their own home, but really weren't ready for a nursing home, bu they were older and needed help with cleaning, cooking, and home upkeep plus someone to drive them to appointments, social events, and shopping when the weather was bad. Vivian, an only child couldn't find anyone reliable and trustworthy to help her out. So shestarted IYH to meet the need. Over the past ten years, demand for the service has skyrocketed and revenues are now just over $ million. The key to the company's success is a group of dedicated employees who treat the clients as if they were their own parents. It had been a great year and things were looking good for the future so Vivian had an idea for rewarding the care givers and shared it with you, the leadership team. The company would buy a piece of real estate in a desirable vacation location. The property would be fully furnshed including linens, dishes, etc. As a reward, Vivian wants to give each of the employees the use of the propoerty free of charge maybe one week a year or every other year, just depends on the property. When an employee isn't using the property, Vivian hopes it could be rented to geerate almost enough income to cover the costs. She has worked with the accountant and determined that were is about $ cash to spend. Anything above that price will have to be financed. IYH's borrowing rate is and the company can take on up to another $ in debt without violating exisiting debt covenats. Your leadership team is given the task of doing research resulting in a proposal for a property purchase. While you can ignore income tax implications, the report should contain analisys of Qualitative aspects of the property. Cost analysis including insurance, property taxes, property management fees, upkeep, utilities, etc. Possible rental incom, including the breakeven point between rental income and costs. Comprehensive budget and cash flow projections for the first three years. Assignemnt Requirements: For this task, your group is to research two or three specific properties and choose the one you think will best meet the following requirements: Stay within the financing guidelines. Be perceived by employees as desirable for family vacation. Located in a place with a reputation for good rental income. Any other considerations you think are importnant. Travel locations are: Houston Texas, Weather high and lows by Month in Farenheit. Slowest month for rentals January. Difference in avergae daily rate between peak months and slowest: $ Average occupancy rate in slowest month: Average daily rate: $ Average Home Price: Approx $ and $YearOverYear Medican House Price doawn Housing Price index Q: Taxes: No State income tax. Average county tax rate Raleigh, North Carolina. Slowest month for rentals Janurary. Difference in average daily rate between peak months and lsowest: $ Average occupancy rate in slowest month: Average daily rate: $ Average Home Price: Approx $ and $ YearOverYear Median House Price Up Housing Price Index Q: Taxes: Incole tax Average county tax rate Clermont, Florida: SLowest month for rentals September. Difference in average daily rate between peak months and loswest: $ Average occupancy rate in slowest month: Average daily rate: $ Average Home Price: Approx $ and $ YearOverYear Median House Price Up Housing Price Index Q: Taxes: No state income tax. Average county tax rate
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