Updated over 10 years ago on . Most recent reply
First Time Landlord!
I just got my first investment property rented. Here are the stats:
Purchase price: $86.5k
Renovation: $15k (wrapped into loan)
Appraisal: $125k
Cash Invested Before Renting: $33k
Rent: $1500
Mortgage Payment: $400
Management: $125
Repairs: $60
Vacancy Allowance: $125
Insurance: $100
Taxes: $250
Realtor's Listing Fee: $125
Monthly Profit: $315
Expected ROI: 11.5% + Principal Paydown
What do y'all think of my expected ROI? Are my estimates for costs appropriate? I do not have a management company, but include that just in case I chose to go that route. I include 1 months vacancy/year to allow for the unexpected. I am trying to keep my figures conservative.