Buy and Hold Properties

[William Futch]

For all you Buy and Hold Investors out there in BP. If you had a multi-family duplex that had a NOI of $3700.00 a month ( this is a cash buy) and another one that had a NOI at $2600.00 a month(cash Buy) would this be worth it? No financing is figured in.

Thanks For your input. Learning the old fashion way, Hands ON....On the Job Training...LOL

[Anthony Chara]

Depends on the purchase price. An NOI of $3700 a month ($1850 per unit) seems awfully high. How much is the rent? To have an NOI of $1850 per unit, the rent would need to be $3700-$4500 per month per unit.

Have you factored in Taxes, Insurance, Utilities (assuming the resident pays for them, you still need to cover them when vacant), Management (even if you're going to do this yourself, you still need to subtract 10% of collected rent), Maintenance & Repairs/Reserves?