Never get the best ones, but, avoid the absolute cheapest garbage.

Absolute garbage

I met with the tenant already and did a walk through.Purchase Price is 74k, HOA fee is 175/m which includes water, garbage, snow removal and landscaping. 

If you are within the city limits you get all the city service, water, fire, police, garbage, and so on.

You can learn more about the RE business by just learning the rental market and moving some rental units then moving garbage via unlicensed activities.

On vacay in DR now so gonna be a little slow, but I’ll try to send you a couple calculations after our day trip today.Basically I’m calculating:Income as per the pro forma Monthly Expenses off of monthly income:- capex + maintenance 10% total (as per broker’s guidance; I originally calculated 10% each)- prop management 10%- taxes- insurance - utilities- sewer, garbage, snow etc- 1 month vacancy (8.33%)- mortgage at 6% interest 30y amortized with 25% down (the terms our bank offered it under a blanket loan)E.g. a $110k duplex with $1400 gross income - $140/month capex & maintenance- $140/month mngmnt- taxes let’s say e.g. $1500/y that’s $125/month (usually higher in my experience)- insurance let’s say e.g. $1k/y that’s $84/month - utilities e.g. $100/month, assuming tenant pays most- sewer, water, garbage, etc. e.g. $100/month - vacancy $117>>> -$806/monthly gross expenses - $494 mortgage = - $1300 net expenses NOI: ($1400 x 12) - ($806 x 12) = $7128CAP: $7128 / $110.000 = 6.48%Cash flow: $1400 - $1300 = $100/month, or $50/door/month. 50% rule ($1400 / 2) - $494 = $206/month 2% rule $1400 / $110.000 = 1.4%

TYMike High poverty rate, poor tenant quality, very old stock of housing (which in itself isnt bad since I like DC) but combine that with poor tenants and you have high cap ex and repair costs, I anticipate much higher than normal vacancy and non payment rents in Hagerstown, virtually no appreciation and possible even risk to initial capital due to depreciation, .....just walk around the downtown there,...there is broker glass and garbage everywhere, and people high on meth walking around......really I just cant see any reason to invest there.

Welocme to BP and hope you stick around to contribute and not to be just another guru selling garbage to people.

At one point they included garbage and water, but eventually they did away with that.  

Those "Give me $5000 up front and I'll teach you for 3 months" garbage is not what you're looking for.