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Updated over 5 years ago,
Starting out.. making sure this makes sense
Hello everyone thank you for taking the time to read this and hopefully give out some pointers and or correct me I'm wrong.
Fist Step - I buy a duplex cash we call this property A- $60K brings in $900 monthly ( Now I got the itch and want to get more )
Second Step- Go to the bank and get an LTV ( probably will get around 35-40k , that's what I'm thinking)
Now with me doing this second step I would have a mortgage/payment to the bank on property A with I say $350 give or take.
Third Step - Go get Property B put in that $25k as a down payment on a $100k property and now I have another mortgage of $75k to deal with ( while this $100k will generate me $1200 though).. I would say a payment on that $75k would be $600?
after I acquired my 2 properties and put in $60k cash of my own money I would be generating $1200+$950 = $2150 minus the mortgages of $350 and $600 that would give me $1200 on both properties but I still have to save up monthly for property management, taxes, insurances, expenses etccc... so pretty much looking at $600 monthly cash flow - and that is a good deal I'm doing? is this is or am I getting some steps wrong?
this is all hypothetical