There are two types of return from a rental propertyCash Flow & Appreciation.I normally also aim for a minimum of 8% return between Cash-Flow and Appreciation.Appreication, nationally, is around 2% to 3% annually.Therefore, your goal is to get the cash-flow to be about 5% to 6%.The issue is interest rates being very high, you would therefore, need to buy at a pricepoint where the numbers still make sense.You can always put down more of a downpayment to cash flow, but that will impact your cash on cash return calculations.Best of luck!

Second, real estate investments generate a return in one of two ways - Cash flow and appreciation.If cash-flow is negative, is the appreciation making up for it?

They sell a 4 unit for close to 1 million dollars close to Jacksonville. they want 250k or 300k down. there's no upside. you can google the properties on biggerpockets and there isn't a lot of satisfaction. it's a slow return and get rich slow strategy. our focus is always as a builder to add maximum value, lower cost as low as possible, build and rent and build and sell the same product and raise prices to help investors out. we have a large market share and large purchasing power in our market in columbus ohio. the one strategy I never liked about turnkey new build brokerage companies like them and build2rent or others is they don't really build close to urban centers and most are single family homes. the numbers don't work on single family homes. if single family was the way to go more companies would be doing it. but by far the most common type of new construction built is three story walk up apartments.

Deals like this do exist out there.In a previous post, I put a graphic of my returns, and you accused me of using data for single family returns.

Then they'll charge an additional $2,400 for filing tax returns. 

Also, there may be a very good investment channel that reviews cash on cash return in Lynchburg, InvestLYH. 

I stayed in touch with all of my investors who bought off of me to see how well they did and my biggest joy was when they returned to buy more or told their friends about me and what I do! 

While the 4% mortgage is great, your 1M in dead equity isn't giving you a great return.

This could easily cost you $10’s of thousands if you plan to stay in the home 5+ years when you return. 

We believe that we are lowering risk, increasing the average expected return, and leaving the upside unchanged.