All Forum Posts by: Vernell D Watson

@Eric Oszczypala the area is great along with the tenants. After taxes, P & I, and HOI, I'm actually netting 1100 to 1200 a month. Not sure of vacancy rate and maint but I will manage it myself.

@James Galla This place is turn key. When I subtract the mortgage, taxes and homeowner's insurance, Im left with 1100 to 1200 a month. I would be managing it myself. Its in a great neighborhood and tenants are already in place. There's no PMI because I would be putting 20 percent down on the purchase price. Im not sure of the vacancy rate.

Hello Everyone,

I have a quick question. Does it makes sense to buy a multi family home for 180K that will cash flow $1100 a month after the mortgage, taxes and insurance is paid? It's a two unit property and each unit pays $1275. Some of my friends say that I would be acquiring to much depth (180K) for such a small return. I disagree, 1275 x 2 = $2550 x 12 = $30,600 / 180k =  a 17% cap rate roughly. These numbers make sense to me......comments?

Hello Everyone,

Question, once you secure a loan for a 30 year fixed mortgage rental property with tenants in place, how long do banks like you to wait to secure an additional mortgage for your next rental property?

Vernell

Awesome thread, thanks everyone.

@Joe Splitrock Thanks Joe, I appreciate it :-)

Will do...Thanks again.

@Matthew Paul Absolutely...

@Nick G. Uh? No Nick, maybe I should have posted the clause so you could see it. When we use an escalating clause and we start with lets say 100K and we cap it at 120k. If the seller later says we won the bid at 120k he has to furnish us with all the other bids that caused our initial bid to rise. So although it says our highest is 120k the seller has to provide proof from other bidders. Make sense?

Thanks :-)

@Nick G. Thanks Nick, I shouldn't have left out the fact that when we used an escalating clause we had a cap on it. This was just in case someone over bid for the property :-) However, I will remain persistent and thanks for the advise. 

Vernell