Updated about 9 years ago on . Most recent reply
Need Advice on 4 bed/ 2 bath Landlord Deal Analysis
Hi All. I'm working on a deal and at the same time creating my own deal analysis spreadsheet, and I would like to ask everyone to give me a little feedback. I know BP has several calculators, and have tried some of it and it's a great tool. But I like to organized my own flow of information that makes more sense to me personally as well as add in some information that's relevant to my strategy that the BP calculator doesn't necessarily have.
Anyway, this is a deal that I'm working on. It's a 4 bed/ 2 bath single family home. I did my rental comps for the subdivision as well as the ARV for the property. My strategy is to buy this property and lease it for the next 10-15 years, where I will sell it and take the cash to provide it as college funds for my oldest child.
My question is really which type of loan should I go with. Should I use HML or conventional loan to buy the property since it looks like the cash require is pretty close anyway? Or is this a property that I should stay away from since my cash on cash ROI is too little?