I just closed on my 9th rental
I am getting closer to my goals! I closed on number 9 today. It is a 4/2 ranch with a 2 car attached garage. I bought it for $133,000 which is more than I have bought any of my other rentals for, but the market and rents keep improving. This home needs very little work; only a but of paint. Has new windows, newer kitchen, newer hardwood and baths.
I put 20% down with a 5/1 ARM at 4.625% and my payment with taxes and insurance is $642. The home should rent for around $1,300, maybe $1,400. There were multiple offers on the first day of course. I think being a Realtor and knowing the listing agent helped me out on this one. Asking price was $134,900.
It was purchased off of MLS just like almost all of my deals. For those saying you can't buy off MLS, I have 6 fix and flips going, 5 of which were from MLS and one from the trustee sale.
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Congratulations @Mark Ferguson . I think what I like about your portfolio is that they are all very nice houses. I only have one house purchased for over $100,000 and I struggle to get $800 a month for it. Using the 50% rule you would not have cash flow, but the reality is that it costs just as much to put a roof on my $50,000 rental that I get $500 per month for as it does to put a roof on your $130,000 rental you get $1,200 a month rent for. I doubt your taxes, insurance, vacancy, repairs run more than $300 or $350 per month. Yours have the added bonus of having a high demand 2nd exit strategy of selling to home buyers. Very nicely done.