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Updated almost 7 years ago on . Most recent reply
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What percent profit would you expect on portfolio 12 Units?
This portfolio consist of 11 single family homes and 1 garage apt, so 12 units total. Gross rents
are $9,100. Properties are mortgage free. Value 1.3 Million
Obvious expenses Taxes, Insurance, allocating 12% to maintenance. How much income would you
be comfortable taking home on this portfolio, where it would remain self-sustaining?
In your area, what would you expect to put what in your pocket each month/year? Is $43,680 (40%) to
aggressive? Curious your general opinion...
Most Popular Reply
Originally posted by @Gerald Peters:
This portfolio consist of 11 single family homes and 1 garage apt, so 12 units total. Gross rents
are $9,100. Properties are mortgage free. Value 1.3 Million
Back of the envelope math I would assume all expenses to be around 40%-60% depending on where you are and reasonable condition of the properties. So based off of that your numbers are on the conservative side. If it fell into what I expected them I would dig deeper to get a more accurate picture of what the expenses actually are.
Of course this is without debt service of any kind. And I would also point out that I would never pay anything even remotely close to $1.3 mil for $43k per year.