Help using the calculator's

[Jon Mccarthy]

Forgive me if this has been posted before. I did search the forums looking if someone else asked this and I did not find it so I will just ask. 

I am trying to do what @Joshua Dorkin and @Brandon Turner suggest and that is to analyze properties as much as I can so that way I get the practice on using the tools and get in the mind set of looking at the properties and everything that it entails and being able to identify good properties from bad properties. My situation is this I have played with the properties calculators, all of them except the wholesale and rehab and all the properties I run on them tend to be a good investment even offering them at full price. 

So my questions is am I using the calculators wrong in a way that all properties are a good buy (I say not even possible on this) or does everything seem like a good deal and you half to decide on how much money you want from the properties and what your time is worth. 

I have hard time believing that no matter what property I put in the calculator that it is a good deal. I have watched the videos and see them do it over and over again and show me how to use them and how to see good and bad deals, but when I do it they all look good. So it has to be something I am missing or doing wrong or anything. 

Example brand new 4 plex across the street from my house is going for 460,000 average rent for these is 900 - 1200, if I put down any type of amount it all comes out in my book to be a good investment. I say that is BS, that is way to much for this area and you would not make a good profit unless you put 50% down or more. So I say being a newbie and can not get the simplest thing down is very frustrating to me.

[Jordan B.]

Originally posted by @Jon Mccarthy:

@stiven

@Account Closed what do you think about this one? it is a brand new construction.

Take another look at your expenses. Every situation is different, but I'm hard pressed to believe the CapCx, Repairs, Vacancy, and Management are 3%. For my SFR & Duplex hunt, I'm using 10% for management, 10% for CapEx, 5% for repairs, and 5-10% for vacancy depending on the property. Find some local pros and find out what they're paying.