@Chinku Chinku the rich get rich by making their money work for them.They borrow at one rate, to invest in something that returns a higher rate - they profit on the difference.Only you can evaluate your risk tolerence though.

When evaluating potential properties, consider three exit strategies: if you can sell quickly for a profit, hold it as a rental, or take a loss.

Cash OfferARV $180,000 - $55,000(Rehab) - $14,400 (8% fees, CC, HC) - $40,000 (profit) = $70,600 MAONovationARV 180,000 x .95 =171,000 (EST.

Also, the whole point of hiring a PM is to handle tenant, maintenance, and rent collection, so if your partner isn’t actively managing but just supervising the PM, IMO not worth having a two people essentially looking over the same tasks.Contributing financially for one person and the other having no financial stake raises decision making questions, such as when to sell, how profits will be distributed, etc.

Consult a CPA or real estate attorney to understand tax implications, build a reserve fund for unexpected costs, and research local regulations to ensure a smooth and profitable transition into rental property ownership.Good luck!

Account Closed our world is trending to more & more "immediate gratification".Self-showings are the result of this and owners squeezing PMC's profits to nothing.Regarding the PMA, ours is pretty long to cover everything we can realistically think of - yet, many owners freak out about it and hire a PMC with a shorter contract.How would you be reacting right now if someone had broke into your property and stole these things?

For flips, ensure the profit margin after all costs is at least 20%-25%.

First off, the deals we are using the LOC for are solid, profitable deals even in the worst of circumstances.

I bought a 16 unit apartment complex that was a expense nightmare, with low rents, that I eventually gave up trying to make profitable. 

What about having to break even, or even feed the property every month $200 for those same 36 months, but at sale, could net a $75K-$100K profit?