Long story short, the simplest way to look at this is to add a 0.5% or 0.55% to your FHA rate and then compare that to a Conventional option (note rate + PMI rate) priced with 1.75 discount points.

I am getting ready to start my first spec home build.

I have found a good market and have built a good team thus far and I'm ready for my first flip.

The cap rate is one tool among many and this one is really only able to give an apples-to-apples comparison about the sale price across multiple commercial properties.

@Jose Saladin Purchasing your sister’s home as a live-in rental offers instant equity (~$170K), tax benefits, and landlord experience, making it a solid first step into real estate investing.

I’ve done a HELOC to help get me my first two rentals.

Hi - I am curious what the forums will make of my first deal and whether it is relatively good or relatively marginal. 

For the most part, due to interest rates, breaking the 1% cap rate still won't provide positive return after expenses.

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $317,000

Cash invested: $55,000

I acquired a Quadplex in 2021 with an FHA loan, investing ~$21,000 in down p...

Too bad you need to eat the high conversion rate now.