Running the numbers in Massachusetts

[Joe Ruggiero]

Hey BP Boston! I have a question on running the numbers in Massachusetts. I’ve been basically running the numbers on multi-family B+Hs for practice the past 3-6 months. I always run them assuming I wouldn’t be living in the property even though I plan to house hack. My question is should I be budgeting money each month for electric, water, and garbage or is it possible to have the tenant take care of all these things as long as the property is set up for that? I’m finding it makes a huge difference in cash flow and what I can afford. Let me know!

[Enis Shehu]

Hi @Joe Ruggiero Typically the tenant pays for electric and garbage and you handle the water bill. Make sure to account for insurance, property tax, vacancy, maintenance & repairs and property management as maybe in the future you won't be able to manage it yourself or get burnt out..Reach out if I can help you in any way.