All Forum Posts by: Troy Schwamberger

Thanks for the info guys. I appreciate it.  

I did consider all the other cost. My out of pocket expenses will roughly come to $1000 per month. My income from the rental will be roughly $1600 per month.

I guess cash flow per month. The scenario that I used was pretty close to what my situation is. I am interested in a Tri-plex with all three units currently rented at about $1600 per month total( A little over $500 per unit, per month). Mortgage payment with taxes and insurance are estimated at around $1000. I believe it to be a good investment, but wanted to know what the professionals thought of it.

What is a a good "rule of thumb" profit margin to shoot for when renting? If your out of pocket expenses are $1000, would $1500 per month rent be an average or above average. $500 per month profit. 

Thanks for the info.  What is the best way to find these properties early? I have been looking at upcoming Sheriff sales. I have actually flipped a house that I bought at Sheriff sale, but am looking at other avenues.

Thanks again guys! Very good info. I appreciate it. Just getting started and it is more complicated yet more interesting the more I learn.

Thanks guys! Appreciate the feedback.  Am I stupid to think that ,if the note is getting paid with no money out of your pocket, you are essentially "making" money? At least long run. Someone else is paying for your asset.    

That sounds like the criteria that a bank would use to even lend you money. Is that right?

So basically if my rental income from a property is not 1.2 times my mortgage payment,it is not advisable to buy the property? 

Is there a "rule of thumb" regarding a ratio of income you should get from a rental property versus how much a mortgage payment is on that property.  Obviously you are in it to make money, but is there a criteria that landlords try to live by if they don't have outright cash to purchase.      

Does this include sheriff sales or is it too late to offer the owner?