All Forum Posts by: Alexander Flores

@MJ Singh Yeah your net income per month would be $1158 and for the year $13896, that is with factoring in 10% for maintenance and 10% for vacancy into your expenses. So it does seem like a good deal. I am too from New Jersey, Ocean County, so it is nice seeing someone else from the area buying and holding. What county is the property in? (Central Jersey means different things to different people)

@James Vega I have talked to my bank and plan on setting up a checking account and savings account for the property. The savings for their security deposit and checking for the rent payments and expenses.

Thanks for all the insight guys! Thanks.

@Mike O'Connor thank you.

@mike I would be managing the property myself and with my day job also. I would have my tenants pay for the utilities but by back utilities do you mean as in the months when it is vacant? Advertising costs not so much since the areas I am investing they are predominantly renter friendly, also as a real estate agent I will have some networking through being an agent. Legal or an unknown category have not been factored in, thanks for the input. Again any suggestions at all let me know, I am all ears.

Alex

@Mike O'Connor undefined

Hey, I have been around the website for a couple months. I am a big numbers guy and into excel a lot. When calculating CashFlow and CoC Return I mainly factor in my Expenses Per Month As

• Mortgage (at 20% down at 5% interest for 30 year fixed)
• Monthly Taxes
• Monthly Insurance
• 10% of Rent for Vacancy
• 10% of Rent for Maintenance

Then I take my expected rent (using rentometer,craigslist,knowing the area) and subtracted my expenses to get my cash flow? Am I missing anything that crazy for monthly cashflow? Also all of my numbers are based on if I paid the asking price fully. Any input is appreciated, thanks all!

@Chris Bjorklund Hey I would say pay off the mortgages you have before acquiring any more debt. Positive cash flow is something I am 100% about, since it is the only real thing you can count on at a given time. Appreciation is a hope you can have but positive cash flow is something you can rely on at that certain moment. Just my two cents.

@Brian P. called the Realtor and it is not a foreclosure. She said the sellers are not very motivated so price is pretty firm.

@David Moore @Anson Young 

 Thanks for both your insights. I think I will give the Realtor a call tomorrow! The experience can't hurt and I'll never know until I try!

There is a home for sale that I am interested in investing to buy and hold. I want to call the agent that the house is listed for but not really sure what exactly to ask. (I haven't really contacted an agent in a place I am seriously interested in). The house is a foreclosure that from the outside looking in is in great condition. After running my numbers they seem to add up, about $350 CF a month with a below average rent for the area and 16% CoC but that is with 20% down. I am thinking of doing 10%. Any input would be appreciated, thanks!