Is this property cash flow positive?

[Sage Jankowitz]

Purchase Price: $325,000 + $50,000 in repairs

4 Units: $1,200/month per each unit

[Nathan Emmert]

And you expect us to answer this... how?  Are you buying cash or financing?  What are the expenses?  Do those rents include utilities?  Taxes can range anywhere from 1/2 of a months rent up to 3 or 4 months rent in other places.

If you want to do the math with the 50% rule it's pretty straight forward but we still need to know if you're financing or not and at what %.  Assuming a standard 25% down, $81,250, you'd be financing $243,750 at say 4.75% for a payment of P&I at $1,271.52 per month for 30 years.

If you're income is $4,800 a month, you'd have $2,400 after expenses (assuming 50% rule) to pay your mortgage and $1,128.48 cash flow a month after paying your mortgage.  So yes, it will cash flow.... if the 50% rule holds (if you're paying utilities or in a high tax area it won't) and those rents are correct...

What's your Cash on Cash (CoC) return? You've invested $81,250 + $50,000 in your down payment and repairs (ignoring closing costs, assuming they are in the purchase price) for a total cash outlay of $131,250. Your yearly cash flow is $1,128.48 * 12 = $13,541.76... diving yearly cash flow by your cash outlay = 10.3%.

My target is at least 10% so this would hit the bottom end of my metrics... I prefer to be in the 15 - 18% range.

Granted, this analysis isn't worth the text on this screen without really understanding your expenses, anticipated vacancy rates, market rent rates, etc.  This is just some quick, dirty (and frankly easy, straight forward) math.  All it says is YES, this deal is worth exploring further but shouldn't be taken as advice to buy!