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Updated over 10 years ago,

User Stats

8
Posts
4
Votes
Nate Boda
  • Real Estate Investor
  • Harleysville, PA
4
Votes |
8
Posts

How much cash flow should I have for a 4-plex

Nate Boda
  • Real Estate Investor
  • Harleysville, PA
Posted

Hey guys so I've been looking to purchase a BUY and HOLD property. I want to buy a house that can be profitable enough to where the rental income can pay the mortgage as well as give me some cash flow. I am thinking of putting in an offer on a four unit property but am unsure of what I should be shooting for as far as cash flow is concerned. From the research I've been doing it seems that you want to shoot for around a 20% cash on cash return, but what this general rule of thumb doesn't go over is how much you should make per unit. I feel as though a four unit should cash flow more than a duplex or single because a four unit is more work (more tenants to manage, more sinks to unclog, etc.) Any advice on this subject would be most appreciated. Thanks.

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