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Updated about 5 years ago,
brrrr #'s not adding up...potential flip?
Hey everyone I had a question on a potential property I was going to flip or brrrr. I will be using all personal cash for purchase & rehab...Here are the #'s
Class B Ohio Neighborhoodhome 1940's
Purchase $75k
rehab costs: $15k
ARV: $120k
BRRR cash out 70%LTV = $84k
PITI: $657.00 ***High taxes in this area
Vac/Cap/Maint/Mgmt BREAKDOWN:
VACANCY $103
CAP $37.50
MAINT $52
pm 1ST MONTH on new lease $87.50 ($1050/12)
PM 10% fee $105
Total monthly operating expenses $385.00
Rent: $1050.00
Cash flow after BRRR: $9.00
or Flip potential +-$25k before taxes
Curious if my Operating expenses are inline, or anything else seems off? Is this property just a pass with a brrrr strategy and do the #'s line up for a nice flip?
I am in a position right now where my life is not in need of extra cash flow and I have reserves to cover sudden expenses if needed. But obviously the cash flow would be nice.
Thanks in advance!