All Forum Posts by: Marcos Torres

The house needs repair, however it is still occupied and I figure even after repairing I can likely raise the rents. The only expense I didn't factor in was water, which is really minor. Tenants pay heat and electric. The only downside that I came across, without actually seeing the property is it has an underground oil tank. I'd have to get it removed and checked for contamination prior to purchasing. I'm going to have my partner who's a contractor take a look tomorrow and make an apt. With the realtor. Is it possible this cash flow property was overlooked because people are too focused on flipping?

Are these still active?

Hey guys,

I've been searching the MLS daily and come across some decent properties..I decided to search for multi units specially ones that have been on the market for a very long time. I came across a 3 unit that has been on the market for over a year! I figured it was extremely over priced..but I ran the numbers and it seems almost amazingly good..? Maybe im missing something substantial.

The house was listed for 229k and has been dropped to 190k..im confident that I would probably get the home at around 170k. The home is a triplex and total income of $3,400 as it currently sits. It appears to need work, but the rents are extremely good compared to the selling price of the home. I ran it through the calc..and this is what I got based on a purchase price of 170k.

Purchase Price: $170,00

Down Payment: $34,000 (20%)

Loan Interest: 4% (Estimate) 30 years amortization

P&I: $649.28

Taxes: $616.67

Vacancy: $340 (10% Guesstimate)

CapEx:$340 (10% Guesstimate)

R&M: $340 (10% Guesstimate)

Management: $340 (10% Guesstimate)

Based on the above my total monthly expenses would be $2,625.95 and an income of $3,400 leaving a cashflow of $774.05.

Am I missing something?? How is this house still on the market? Even purchasing at full price of 190K the purchase make sense..

I'd appreciate any input.

thanks!!