All Forum Posts by: Osei K Boakye

To actually consider seller financing approach to sell off your property would mean that you probably own the proper free and clear. This will enable you to become the bank in this transaction by been in the first position or if there still a note on the property, you can do a hybrid of seller financing on the equity you have in the property and subject to on the remaining balance to be paid to whoever financed the property 

For Subject to approach in this situation,  you have to let go of some if not most part of the equity for the investor who will be taking over the note payment.

The amount you pay for PITI would basically be determined by certain factors that might differ among property owner even within the same subdivision. Your interest rate, the insurance you obtain, the county/state's property tax rate etc. The age of your property can also influence how much premium you will be paying as insurance. These all can be contributing factors that will make your PITI expensive

Hi Jim

considering the figures that you have laid out, you can clearly see that even if both units are rented out, you will still have money coming out of your pocket every month in order to maintain your properties expenses. This property has a negative cashflow. 

The 50% rule shouldn't be a strict requirement when  doing your analysis. It's basically a rule of thumb that some investors use when they want to run their numbers in a quick and dirty way. I will focus on the cash on cash return to know whether it makes sense to invest in the property 

Congratulations on your acquisition..this is a steal

 Great explanation..its making a lot of sense now. Thanks

 Thank you. I get it now

 @joe Villeneuve, in context to this post a hot market is one that people are buying and/or selling 

Hi BP community 

In choosing a hot market, I know there are some factors to consider such as population, job growth, income, crime rate etc. My question is can an investor use the number of transactions (within 90 days) in the preferred market to determine whether it's a good market or hot