We've added a new safety precaution for those who click the link in our emails to double confirm.

For example, if your goal is to generate $ 100/month positive cash flow after all bills/mortgage payments/maintenance reserves and the price is 1/2 what the asking price is, then that is your highest offer price.

It would likely prevent selling to anyone but an investor in the future, though.In the event of a flood, I'd build up enough cash reserves from the property to either repair or demolish.

Forgot to add this to the previous post, but I would confirm when the property was originally built, and how many units were approved at that time.

I feel confident in my ability to "run the numbers" accounting for things like Management, Vacancies, PITI, Reserve Fund, as well as maintenance.My issue and question has to do with financing and starting to build my RE investment portfolio.

Even after adding 10% for repairs, maintenace, and reserves puts this property at 45.7% - I would still be very happy with this outcome.To dumb down the wishful thinking (and numbers) I reassessed with operating expenses at 50%:NOI: $18,630Mortgage 30 yr @ 5%: $10,307Net Income: $8,323 $2774/Unit ($231/Unit per month)Even with operating expenses at 50%, this property seems to be a cashflowing cow.

All of these were rental properties.I would always caution in any of these scenarios, make sure you have plenty of reserves to address issues that pop up.Good luck!

Also itemize capital expense and reserve requirements.

Do you have enough reserves met in the good times to offset the bad???

I just don't have cash reserves right now.Jonna thanks.