Due to the high interest rate, it is hard to make the strategy work -- the rent to price ratio needs to be very high (1.5%) to make positive cash flow.

For real estate the will calculate what your return would be if you purchase a single-family home at market rate and hold it for ten years.

When purchasing, my goal was to cash flow a certain dollar amount based on the open market or section8 rates.

I currently have a 30-yr fixed rate mortgage on a single family home that is my primary residence.

Interest rates are what they are, so find some different strategies to make it work.

My buy box is a home 5 years or newer, A or B-rated schools in the 200K-400K range that will appreciate over time with someone paying down my debt.

Purchase price: $225,000 Cash invested: $50,000 Fit criteria of A and B rated school in good area that could appreciate over time.

What you are dealing with is a negotiation issue, not a rate issue.

Cap rate, per door price, gross rent multiplier.

DT Long Beach: beachy urban setting with smaller units 1bdr; close to tourist attractions, and thinking I can STR one unit; BUT high crime rate (90 percentile); properties are older but more attractiveIs it better to go into a slightly better neighborhood in boring Riverside or a more crime ridden area of cool kid Long Beach?