My name is Nick, I am a Residential/Commercial Broker with Home Front Mortgage.

It is a duplex near scranton PA. the Mortgage is about $2,400 and each tenant pays $1,550 monthly in rent so I make about $700 in cash flow monthly.

You can increase returns with leverage (that is a mortgage) or with value add (renovations, additions etc).I think cap rates (rents minus expenses divided by purchase price) on commercial and industrial is higher with less work involved, but its more expensive than I can afford--so I know next to nothing about that land.

I wanted to help them out and minimize their loss and saw an opportunity to get a property slightly below market because of my commission savings, immediate mortgage and maintenance relief, in addition to keeping a lower short term interest rate How did you find this deal and how did you negotiate it?

However, they approach financial health from different angles.The 50% Rule is a quick estimate that suggests operating expenses (excluding mortgage principal and interest) will roughly equal 50% of the property's gross income.The DSCR is a more precise calculation (Net Operating Income / Total Debt Service) that determines if a property generates enough income to cover its debt obligations.Deal example:- Class C middle class neighborhood- 4bd / 2ba single family house- ARV: 190k- Purchase: 105k- Rehab: 35k- Market rent: $1,400-1,525- Section 8: $1,475- Property manager: 10%- Taxes: 125 month- Insurance $1250 yr- HOA: $55 month- purchased and rehabbed with all cash.

If the number of rental exceeds the FHA standard then nobody can get a new FHA, owner occupant mortgage. 

Hello all. 
We will be almost doubling our portfolio next month (81 doors total). We will be paying nearly $50,000/year in property insurance. Insurance doesn't cover anything anymore and we can almost just pay for a...

Keep primary mortgage @2.9%, paying the minimum.

Looking for downsides from people that have used it The software that I used, perhaps more advanced three years after your AI development, because we can see the actual Investor Intellegence including more private transaction data and photo.

We'll be househacking and renting out the other side for about a year to satisfy the terms of our mortgage.