I Cant get the numbers to cash flow on SFHs. HELP!

[Ryan Huddleston]

I am looking at a few SFHs in C areas to BRRRR. Lets say I can pick one up for 20k (I have one in mind actually) put 10-15k in it and the ARV is 70k and it will rent for 700/month maybe 750. I could refinance and take out a 50k loan. Lets say 20 years at 5%

Mortgage $330

Taxes $100

Insurance $100

Vacancy, Cap X, Maint. (5% each) $105

Property Management $70

Total $705

So I'm negative $5 per month. 

Am I missing something? Even on a 30 year loan im only cash flowing around $60/month. 

[Jay Hinrichs]

Originally posted by @Ryan Huddleston:

@Jaysen Medhurst

I may need to look at keeping the refi to 35k. I was hoping to make it cash flow with a 50k refinance so I have more buying power for the next one.

 if your break even but pulling cash out to do your next deal.. Nothing wrong with that at all. does not need to cash flow just needs to pay for itself.. you could do that 5 more times and then have enough cash to pay cash for a house and have no debt on that.