The yield on the 10-year Treasury slid almost 8 basis points (as of writing) hovering at 4.158% following remarks by Fed Chairman Powell on Monday that the central Bank will not wait until inflation has reached its target rate of 2% before cutting interest rates. 

The ARV value came back at $201,000 and a condition rating of C3 with a reported median rental figure of $1,595.

-ARV - 500k-Purchase Price - 400k (needs full renovation set 50k) - Down Payment - 20%-1st Hard Money Loan - 250k interest only 3 year term -2nd - Hard Money Loan - 70k interest only (interest accrues to earlier of end of term/sale/refinance) -Rate TBD but assume around 10%Investor would get a discount on ARV and be cash flow positive during the holding period.

The loan caps vary across lenders, across experience buckets, across asset valuations but 70% - 75% is standard.9mo note at 12.99 i/o - Most say "12" months and then bake in a fee if it goes longer than 9 months.  12.99 is high. 

Here's a roleplaying softball, look forward to your home run:I'm a newer investor and I noticed that these properties have cap rates listed right on them, and a higher cap rate is a higher return, google told me that cap rate is the same as ROI on the stock market.

Real Estate News in BriefA string of favorable data (lower inflation, higher unemployment rate) has convinced the market that the Federal Reserve will begin cutting short-term interest rates in September, and mortgage rates are already moving lower.Reminder!

The market vacancy rate held steady at 11.6% compared to Q4 2023, while asking rents declined slightly by 0.5% quarter-over-quarter to $234 per unit.

But, due to the higher interest rates I have definitely slowed down the velocity of acquisitions though.

And during inflationary times, our rental rates increase.

The IRS sets the minimum interest rate, known as AFR - applicable Federal Rate.