You're better off opting for an interest-only mortgage, saving on payments, and then refinancing it into something more conventional when interest rates drop—or, if possible, making a plan to pay down the principal.Interest-only loans, which typically last for the first 5 to 10 years of the loan term, offer two key benefits.

Deduct NEW property taxes after you buyDeduct home insurance costsDeduct maintenance percentage, typically 10%Deduct vacancy+tenant nonperformance percentage(we recommend 5% for Class A, 10% Class B, 20% Class C, good luck with Class D)Deduct whatever dollar/percentage of cashflow you wantNow, what you have left over is the amount for debt service.Enter it into a mortgage calculator, with current interest rate for an investment property, to determine your maximum mortgage amount.Divide the mortgage amount by either 75% or 80%, depending on the required down payment percentage - this is your tentative price to offer.If the property needs repairs, you'll want to deduct 110%-120% of the estimated repairs from this amount.Be sure to also research the ARV and make sure it's 10-20% higher than your tentative purchase price.As long as the ARV checks out, this is the purchase price to offer.It is probably significantly below the asking price.

While I don’t typically work with real estate agents to find deals, I do collaborate with other professionals throughout the process.

These straightforward requirements make the process accessible and convenient for buyers.The initial setup costs typically range between $500 and $1,200 USD, while annual maintenance fees are generally between $500 and $700 USD.

Our short-term residential investment property loans are typically 60-80% LTV and all are personally guaranteed by the borrower(s) -- we pull credit, background and PFS on each guarantor, verify experience, verify liquidity, underwrite the property, neighborhood and zip code.

Ensure you collect a proper security deposit (typically one month's rent in Florida) to cover potential damages.Your plan to increase rent next year makes sense given rising costs (taxes, insurance, and maintenance).

Ask which utilities owner pays, then call the local utilities companies and get 12 months of meter readings for gas/electric/water and average them out to verify your utility expense.

It's people who understand that it takes effort to become successful, typically from CA at this point, and have a way of showing those characteristics, do best.

Meaning, the bank wants to see that a property cash flows for typically one to two years of tax returns before they count it as income. 

@Polat CaglayanI've never seen a formula but here is a general rule of thumb for multifamily:The class of an apartment refers to the quality of the building, which can be determined by a number of factors, including age, location, and condition: Class A: These are the highest quality apartments, typically built within the last 15 years.