I’ve found that if you multiply the average market rent by .6 it‘ll give you a rough estimate of your cap rate. 

Hi guys,somewhere I read that a good rule of thumb for changing brick foundation to concrete foundation is $500/linear feet.Does this mean the perimeter of the building in feet multiplied by $500?

The millage is .2415 (So if a property is $100,000 you'd multiply it by 6% for non-owner occupied then by .2415 to find the annual taxes will be $1,449.

Once you've learned how to fix darn near everything, you'll be in a great position to take that ten grand (which should have multiplied by now) and buy your first fixer that you can fix yourself.

The sale price of $200k less the purchase price of $100k is $100k profit which is now multiplied by the 35% which equals $35,000.

I would also keep an eye& ear out for the emerging innovators, every significant economic shift and calamity breeds innovators and those innovators require seed capital, think Facebook, Google, Netflix and so on, those early $ investors made multipliers on their capital that makes any other investment pale in comparison.

To figure out the property tax, i just multiplied the sale price by .0125, then divided by 12.

That could be a long SOW, in order for that to be accurate, it should be a two part, one is sampling, walk every type and list down the sow at a worst case scenario, multiply, sum, to verify rehab numbers provided by others.

Also, I use 70% from ARV less rehab for that rule, not ARV - rehab then subtotal and multiply 70% like one post above, meaning for a small 1M house that needs 100k rehab, my MAO is 600k.

The good thing about this is that I can sell one off if I want to later but for now I have to get 2 of everything.Here is the deal just for one unit (the details are the same for both):Purchase price: $95,000No repairs needed (current owner is taking care of the big things found in the inspection)Current tenant pays $925/monthAssuming 5% vacancy and CapExAssuming 8% repairsInsurance is $95/monthTaxes are $153/monthWith a conventional loan of 25% down and a rate of 4.38% here is what the calculator gives me:NOI: $6,128.48Monthly Cash Flow: $154.97Total Cash Needed: $28,590COC ROI: 6.5%Pro Forma Cap: 6.14%Purchase Cap: 6.45%50% rule monthly cash flow: $106.76Income-Expense Ratio (2% Rule): 0.93%Total Initial Equity: $23,750.00Gross Rent Multiplier: 8.56Debt Coverage Ratio: 1.44%Is this a good deal?