Woo-Hoo! Investment property #4 in the books! This addition now brings my monthly cash flow after all expenses (PITI + PM and saving 10% of the rent for maintenance & insurance) at approximately $1,200 a month. My goal is $1,700mo. Need 2 more houses! Then I plan to buy more for a cushion.

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likeuplifting
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Congratulations OP!! Where are you located?

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wow which city is this

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Where are you buying houses for 83k with an ANNUAL mortgage payment less than 4k?

likefunny

Prob cinci. Detroit. Cleveland. Some of those markets can buy rehabbed foe 80-90k and rent for same.

My parking space cost $20k more than this house. Where are u located? Also, no offense, but the hassle and risk of 5 houses is way too big for only netting $1700/mo. Couldn’t you achieve the same with one more expensive property in premium location?

likesmart

It’s less risky but more work. Having a single tenant is absolutely higher risk.

OP! Come back to us!

likefunny

If I were him/her I’d be out buying as many of these “83k” properties as possible…

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Lmao OP tried to flex and peaced out when the room called BS 😂😂

likefunny

How does one get started and how does one purchase an investment property?

like

D1 typically you just need the capital for 20 percent down

However, strongly recommend saving up capital now as it’s still a sellers market with prices/ square foot insane throughout the US

As soon as things start to slow down, then you can acquire a few properties at once with favorable terms

After you get your first couple, it”ll snowball quickly

Various ways to get capital via HLOC or cash out refinance to name a few

KPIs/ Metrics to look for- Cap rate and cash on cash return

Hope that helps! Good luck, it’s a lot of fun when you get the hang of it

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Where the hell is this? Lol

likefunny

If you’re paying cash for all these houses, i recommend you go upmarket on the 5th house with a loan. Stretch that leverage a bit. It’ll hurt your cash flow up front, but long term it’ll pay out more

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Oh, I see P&I now. Missed it.

83k barely gets you a trailer round here. Where is this??

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D2 - what city? What’s a limp deal

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My duplex I bought for 100k rents for 1500 total

like

I’m from the area but there’s turnkey companies like www.turnkeyohio.com

The yield here is crazy (13 percent) and this doesn’t even include potential property appreciation. What city?

like

Great deal for cash flow. Just if you hit the wave of rising hot market, like Texas, appreciation in one year could be worth multiple years of appreciation.

Are you buying turnkey out of state? If so, where are you focusing?

It’s possible if you look at Detroit or Cleveland. This def doesn’t exist in dense populations though. I would think it’s c or d class neighborhoods. So tenant issues are high for sure

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Additional Posts in FIRE Financial Independence Retire Early

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