All Forum Posts by: Account Closed

With those numbers wouldn't my cap rate still be about 7.5%? For that metro west area is that possible? What is considered standard for a complex of that size?

Its in the metro west area. It was appraised at 1,050,000 In mid 2009, Im guessing I wouldnt get within 200k of that selling in this market... It's 16 550 sq ft 1 bedrooms rent between 800-900 avg about 835 currently, water sewer and taxes are through the roof the buildings assessed at about a mil through the town - I just filed for abatement. My rents might be a little low on the avg maybe? Should I look buy something larger and do a 1031? My goal is too create some more passive income then the 65-70k I currently am getting...

Im a young investor - relatively new to the game. I have built up to acquire a 16 unit apt complex worth roughly a million. Here are the numbers

Gross rents - 13200/month 158,400 /yr
Operating costs avg range-82-88k /yr
Net - roughly 67-75k factoring in 2% -5% vacancy range

The mortgage is at 200k at 2% over 10 years so about 24k a year bringing my net down to 43-51k

The building is in MA and I'm currently living in Texas- I'm managing remotely using people for books, repairs and rentals (my net factors in their pay). I have about 80k in stocks and 50k in cash on hand and am renting in Texas.

My question is this: what are my best options in my position to parlay what I have into something more. Should I trade up to a bigger property? Should I leverage it to buy a few smaller fixer uppers in Texas to rent? (Austin area) I feel that with my situation (800k roughly equity- 50k passive cash flow-130k cash) I could be doing much more and generating higher returns. Aggressive ideas, medium risk ideas? Thanks!