Negative cashflow on Rental Property .

[Vinh Huynh]

Hi BP, 

I've just bought a property in Rancho Cucamonga in California  and rent it out from last year. Since I live in Southern California, the price of real estate is kind of high. Therefore , although I've already put 25% for my down payment and the value of the house is about $500k , I've still got month negative cash flow. I rent it for $ 2,200 but my expense is around $2,500 ( included tax , property management fees, insurance and mortgage).  I would like to listen to your advise how to make cashflow break even or become positive. Thank you