This is my first post to Bigger Pockets, however, been following for a while. My market is Albany, NY.
You can make pretty staggering net profits in this area. My biggest question now is wait another couple years and buy a third/fourth property or re-finance this summer one or both of my two families pulling out cash?
Here are my real numbers- both properties cost about the same amount in the same area and put the same amount down. These revenue #s do not include general fixing/upkeep.
Bought the property for 89,500. Put 25% down payment= $22,375 down payment. Out the door to close all day was about 28,000-the fees and etc.
Current market value if I sold today: 120,000.
Since owing it for the last 2 ½ years the principal is down to 64,174.61.
Interest rate is: 4.750
Total monthly payment is: 348.20 a month (principal & interest)
Taxes: approximately $4,000 a year (city and school) or $333.33 a month
Water: Approx. $60 a month
Insurance: Approx. $100 a month
Rents- Apartment #1- $935 a month
#2- $1,000 a month
(1,935 a month total)
Debt each month is $891.
Income each month is $1,935.
Net profit = $1,044 a month
What should I do? Or in other words-Pull out the 25,000 give or take I invested in each and put that into another building- or wait and do it slower not re-financing. I am 39 years old.
Thanks.
-mike
