Originally posted by : @Frank Patalano
Originally posted by @Clifton Morgan:
I have serious analysis paralysis. Literally at the brink of purchasing this property in Tx, but after doing the numbers I noticed the taxes are so high there. Also noticed the market is super neutral and afraid that if I ever wanted to cash out it would be extremely difficult. Luckily it already has a paying tenant but the cash flow would only be about 200-300/month. Really just interested in the property due to the high equity currently (buying under market) but overall the mtg is high and scared of potential long-term vacancies down the road with potential recession looming...mtg expenses too high for that. See what I mean about the paralysis lol.
If it is a decent property, why would there be long-term vacancies? If you're buying the property was such a high equity, can't you flip it or wholesale it instead?
what do you mean when you say super neutral?
my suggestion is to take the best deal you can find. If something is Cash flowing positive a couple hundred dollars a month, go for it. You will learn so much more as an owner then as someone who plays with numbers.
@Frank Patalano Thanks for your reply! By super neutral I just meant that I noticed homes are staying on the market for longer time and selling under market.
And you’re right, it is nice so long term vacancies likely won’t happen but there may be a month or so where it is vacant in between tenants and because it is in the mid 200s I’m afraid that I could be taking on too much where the monthly payments are close to 2k/month.
This would be my first, which is why there is so much hesitancy I believe and I don’t wanna talk myself out of a potential good deal. Just worried im taking on more than what I can potentially handle in the event the market down take a down turn at all. Should I even be thinking this hard about that?
