When do your rentals typically start making money/making sense?

[Scott Goulet]

Hi everyone! I'd like to say in a fairly experienced investor, still a newbie at heart though. I have 8 doors over 3 properties.

1 specific property, I purchased in 2019 and in 2019 I took a net $9k loss, and in 2020 I finally cashed flowed, but over the course of the entire year after financing expense on cash flowed $1500. This is a triplex and gross income is about $2k, but the actual income is so irregular. I swear every month there is something the property management company is fixing.. plumbing, oven not working, something leaking, etc.

My wife just wants us to start managing ourselves, but in my mind yes well make more, but then it wouldnt be passive.

My question is: at what point do rentals that need work, start cash flowing steadily?

I feel like my management company says yes to every single little thing my tenants ask for.. my managment company made more thsn I did in 2020, even though the tenants are paying on time everytime, but these maintenance requests are killing me.

When I purchase my units, I buy them at a discount, so obviously there is some deferred maintenance, but I dont have the money to fix everything right when I buy them. Just as some background.

[Joe Villeneuve]

Rentals should start making money, as in profit, from the day you buy them...or don't buy them.  Why else would you buy a rental property if you're losing money every month?  Equity is great, but it is undefined, and untouchable (useless) until you sell the property, so you can't count that as profit until you can count it as money (cash).

Riddle me this Batman: How many properties can a REI sustain at one time, if they are paying for the tenants to live there?