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Updated over 1 year ago on . Most recent reply

User Stats

16
Posts
7
Votes
Alfred Dublin
  • New to Real Estate
  • Augusta, GA
7
Votes |
16
Posts

Am I doing this right?

Alfred Dublin
  • New to Real Estate
  • Augusta, GA
Posted

Hey everyone,

I been practicing analyzing deals and running the numbers on multiple properties. 
Im wondering 


1. Am I calculating this right? Am I missing/needed something?

2. If these numbers are/were accurate how would you improve

Asking Price: $325,000

Down Payment: $81,000

Loan amount: $244,000 Interest: 8%
Rent: $2500 

Expenses and mortgage: $2855
Cash flow:  -$355

The house it’s a (Up/Down) duplex and (3/1) in each unit a combined 2760 sq ft. Old style house recently fully renovated new lvp floors, 5 year old roof,new paint, remodel not really a need, C+ neighborhood B- location downtown. Comes vacant. Rent can possible get a combined 200 more as owner was charging but being conservative on rent because of research and personal growing in living and paying rent around 

Most Popular Reply

User Stats

348
Posts
391
Votes
Josh Young
  • Rental Property Investor / REALTOR® / Property Manager
  • Gilbert, AZ
391
Votes |
348
Posts
Josh Young
  • Rental Property Investor / REALTOR® / Property Manager
  • Gilbert, AZ
Replied

@Alfred Dublin that looks right. Over time rents will increase and you will be able to refinance when rates decrease.  If you wanted more cash flow now you could put more money down or buy the rate down, or both. I like to include debt pay down and 3% appreciation as part of my returns, they are not cash flow, but they are part of the deal and should be considered.

  • Josh Young
  • [email protected]
  • 802-274-8121
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