Investing with a W2 job affect your calculations?

[Daniel Jodrey]

Hello BP!

I have been studying BP and investing for several years now and have a pretty good idea of what i want. The issue is actually finding deals where the numbers work and play out.

When analyzing different properties, by not calculating repairs and maintenance costs, cap ex costs, vacancy costs etc. , the numbers will sometimes get me around 12% COC ROI and $300-$450 monthly cash flow.

I still have a sturdy W2 job that brings me about $5k each month. All money i am saving for my W2 i am planning to put toward my real estate goals and dreams and costs. Is this a good thought pattern to have or even logical? Knowing that money im saving from my W2 will be going towards these certain expenses. I imagine these expenses are very important to factor if your sole job is real estate investing and that is your only source of income.

I also am wondering if it is offensive or bad strategy to low ball an offer. For example, if there is a property that is asking $499,000 but i put in an offer for $400k because the numbers work with that, is that a bad move? Could the realtor/owner not be willing to even entertain any further offers if it is too low?

Thank you all!

Daniel