
13 October 2024 | 3 replies
Deduct NEW property taxes after you buyDeduct home insurance costsDeduct maintenance percentage, typically 10%Deduct vacancy+tenant nonperformance percentage(we recommend 5% for Class A, 10% Class B, 20% Class C, good luck with Class D)Deduct whatever dollar/percentage of cashflow you wantNow, what you have left over is the amount for debt service.Enter it into a mortgage calculator, with current interest rate for an investment property, to determine your maximum mortgage amount.Divide the mortgage amount by either 75% or 80%, depending on the required down payment percentage - this is your tentative price to offer.If the property needs repairs, you'll want to deduct 110%-120% of the estimated repairs from this amount.Be sure to also research the ARV and make sure it's 10-20% higher than your tentative purchase price.As long as the ARV checks out, this is the purchase price to offer.It is probably significantly below the asking price.

14 October 2024 | 10 replies
This is why we analyze hundreds of deals but typically move forward with further research on fewer than 10.Be Mindful of Leverage: A lot of the risk in real estate comes from borrowing, not the asset itself.

13 October 2024 | 9 replies
Typically an investor will not get into that type of deal unless they get significant upside as there is a chance the entitlement does not work and all that $ ends up going to $0.

11 October 2024 | 7 replies
How do you typically evaluate LTV ratios when deciding on funding, and do you have a specific comfort zone in terms of percentage or property type that you prefer to stay within?

13 October 2024 | 19 replies
The values they have and the way they treat people (you) matters over the years, even more than the investment typically.

12 October 2024 | 15 replies
Typically ranges from $250-1,000; most require $500.

12 October 2024 | 2 replies
Looking to start buying single family homes as typical rentals.

14 October 2024 | 24 replies
Typically in company's 401K plan, there's a large-cap index fund option that more or less tracks SP500's performance.

14 October 2024 | 19 replies
Typically, if they do not file such claims within 1 year, then the transaction is final and the title insurance company will issue a policy.

12 October 2024 | 6 replies
New or recent construction SFHs in the metroplex are typically selling at a .5% rent:price ratio.