To find the real cash flow, subtract the mortgage payment (P & I) from 1/2 of the gross rent.I would definitely pass on this deal.Mike

Subtract the $243 mortgage payment and your positive cash flow is only $82, but of course you are only using a 15 year loan.

I find out what house in the area sold for in the last 2 months and start there then after subtracting what I want to make off of the house.Then closing rehab ,holding cost and all other cost marketing and oops. then I come up with my top offer once I have my top offer I start making my bid if I get the house I make it the best house on the block I want my house to look the best and be the best one on the block so buyers will want it over others in the area.

Basically you set up the deal, then add in what you would like from the deal (or subtract it is probably the better term)I'd say don't go crazy, leave alot of equity for the end buyer.

Subtract your costs from your rent, and you have Net Operating Income (NOI). 4.

Subtract a mortgage payment of $266 (10 years @ 8%), that leaves $233 left, or $116 per unit.That is based on a 20% down payment and 5% closing costs, leaving an approximate ROI of 40% (based on $6986 out of pocket costs).I have attached analysis sheet that I created for this.

If you're talking about rentals, then you subtract the operating expenses and the mortgage payment from the gross rents to get cash flow.

To find the real cash flow, subtract all the operating expenses, capital expenses, and debt payments from the gross rent.

Take roughly 8% of the selling price off the top for sales costs, subtract the loan balance.

To get a ACCURATE assessment of property values, you should consult with title company and/or contact realtor in your immediate area.Whatever the stated property value may be...it is best for you to subtract another 10% off valuation.