First Time Investor Tips

[Maximilian Maier]

Hi! looking to purchase single-family homes in my hometown. I have limited experience and would like to ask a question:

Is negative cash flow ALWAYS bad?

[Tamara Deering]

@Maximilian Maier

No it's not always bad, just usually bad.  It depends on if you expect there to be appreciation in the property, if there is significant equity but below market rents, if you are a high wage earner that could use a tax deduction or can float the negative cash flow.  Every situation is unique so you have to evaluate every deal based on your requirements.