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Updated over 5 years ago on . Most recent reply

Why it seem I can pay off most mortgage in less than 10 yr?
It seems to good to be true. My math must be wrong. Please let me know what I'm missing. Basically let's assume no depreciation and not exceeding $300-$400/month maintenance budget to much.
House price $750k for 3 family with 2-3 br on each floor in area with $2500-$3200/mo rent. OK:
$30k down
$720k financed
$4500/mo Mortgage with tax, insurance and PMI
$8500 Rental income + $1000 (additional payments to principal)
7 years (Time to make 85 payments of 8500 which equal the financed amount)
What am I missing? 8500/mo for 7 years is $720k-ish. No need for 30 years to pay this off right? Am I mistaken? I've done the math on several properties and get same results.
Most Popular Reply

1) don’t know where you can get a 4% down non-owner occupied loan
2) $3,000/mo to live in a triplex SEEMS high.
3) at 4% interest to pay off $720k in 7 years the payment is $9,841.52 PLUS taxes/insurance/pmi
So yes. You’re math is off somewhere. Maybe you forgot interest? But problem 1 seems even bigger.