1 year mark of my first rental

[Mark Burlison]

Purchased a 4 unit for 260k in January 2019. 25 per cent down @ 4.0 30 years mortgage. Got a great bank to work with! Cash flowing about 1350.00 a month. Haven’t  lost a tenant, everybody paying on time. A couple small issues, nothing serious. Ready to retire next year so this was a experiment to try out the rental business. This 4 unit is still under rent, so more room to grow income. What I’ve learned....banks do not finance closing costs!! Lol....at the last minute had to dig up 11k. Insurance had to be paid in FULL at closing....had to dig up another 2K. Lol Make sure you understand where your realtor is getting paid from!! The seller of this unit negotiated a 3 point commission to her listing agent! 0 points to buyers agent! Cost me 2700.00 ....just being transparent. INEXPERIENCE cost me there! OVERALL, excellent return! Scoping out either a 4 or 8 unit! This will be part of a mix of a annuity, stocks and bonds to build a stream of income! Have to file taxes next year...that’s the final hurdle. 65k down payment, 11k closing costs, they automatically withhold 20 per cent for taxes. Ended up withdrawing a little over 80k. My CPA ran all the numbers before I pulled the trigger .....but once I file taxes and see Im ok .....I’ll be fine!!! 😜 Merry Christmas!