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Updated 3 months ago, 09/26/2024
Getting major negative cash flow on deal analysis
Hi there. I’m a new investor and have begun using the rental property calculator on bigger pockets for my market.
I've only analyzed about ten properties so far, but I am getting about negative $1000 cash flow per month for most of the properties and negative cash on cash return. The properties I am looking at are on the MLS because I feel I do not yet have the skills needed for off market deals
These numbers are even with a 25-30% down payment. I am using 5% for repairs, 10% for cap ex, 10% for vacancy, and 10% for property management. Are these the numbers you use, or what am I doing incorrectly? I definitely do not want negative cash flow on a deal.
Thanks in advance for any insight you can give!