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Updated over 6 years ago on . Most recent reply

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Nicholas Gour
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New construction duplex / no cash flow

Nicholas Gour
Posted

Hey guys, im a new motivated investor,i am 20 year old and im looking to buy a rental property in the future but where i live 90% of the rentals do not cash flow and if they do, they are D class property or non-legal/non-conforming duplex/triplex. So because of that im looking to buy my dad's land and build a duplex on it, one of my uncle has been doing this for around 8 years and already has 6 duplexes built, he's getting negative cash flow or break-even if lucky on his units, ive heard cash flow is important when buying rentals units but all he get is pretty much 50k-100k equity when built and mortgage pay down from his tenants and good appreciation, is it worth it for me to build a new duplex if i need to withdraw 100-200$ a month to pay for my negative cash flow each month?

-Thanks

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