
2 December 2024 | 21 replies
I've included an example below to help illustrate this.So different lenders have different rates (which do vary even for DSCR loans) but these are factors they all consider.See example below:DSCR < 1Principal + Interest = $1,700Taxes = $350, Insurance = $100, Association Dues = $50Total PITIA = $2200Rent = $2000DSCR = Rent/PITIA = 2000/2200 = 0.91Since the DSCR is 0.91, we know the expenses are greater than the income of the property.DSCR >1Principal + Interest = $1,500Taxes = $250, Insurance = $100, Association Dues = $25Total PITIA = $1875 Rent = $2300DSCR = Rent/PITIA = 2300/1875 = 1.23If a purchase, you also generally need reserves / savings to show you have 3-6 month payments of PITIA (principal / interest (mortgage payment), property taxes and insurance and HOA (if applicable).

26 November 2024 | 0 replies
With such low rental yields, the return on investment (ROI) and cash-on-cash (CoC) return are negative when factoring in mortgage payments only, not including any other factors.In this market, it seems almost impossible to make a profit using traditional rental property investing strategies.

29 November 2024 | 2 replies
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28 November 2024 | 10 replies
Higher Fees and Costs: Cross collateral loans may come with additional fees, such as appraisal costs for each property involved, which can increase the overall cost of borrowing.In conclusion, while cross collateral loans can provide valuable opportunities for accessing larger amounts of financing and potential cost savings, they also come with considerable risks and complexities that borrowers must carefully consider.

27 November 2024 | 48 replies
When it comes to choosing between a turnkey property and a fixer-upper using the BRRRR strategy, it really depends on various factors, including your market conditions and where you are in your investing journey.

29 November 2024 | 18 replies
This is the super's job - that's what you are paying the HOA fees for.

26 November 2024 | 10 replies
There are some other dynamics that also will likely play a factor in making the situation great for investors...such as runup in home prices and interest rates probably created a permanent renter class of society.

28 November 2024 | 22 replies
I bet the government thought people would plug in while visiting the DMV and then leave, that never happensThat's solved with an "idle fee".

27 November 2024 | 7 replies
@Jennifer Moscatello we have an addendum that says it was x amount full at occupancy and the difference will be reimbursed either way at vacancy plus a restart fee if they let it go empty.

27 November 2024 | 3 replies
Rooming houses usually don't get to take advantage of sporting events, concerts, festivals that usually result in spikes in rental fees and more profits ( and glory) that AirBnb and other STRs get to.