The government- sponsored enterprise known as Farmer Mac said it boosted capital by $50 million after issuing preferred stock and retiring other debt.

It grosses ~$17K/month and cash flows approx $5K after debt service.

I think the biggest problem would be coming up with the 20% needed to make these numbers work.Purchase Price:$2,350,000Property type: 72 unit ApartmentYear Built: 1970Rentable Area: 58,211 sq ftLot Size:: 124,823 sq ftCurrent Occupancy: 89.19%Purchase Price: $2,350,000Assignment Fee1: $100,000Cap Rate2: 10.77%Net Operating Income3: $253,078.29Pre-tax Cash-flow4: $102,986.01Earnest Money Deposit5: $21,500Down Payment: $470,000Loan Amount: $1,880,000Amortization Period: 30 yearsInterest Rate: 7%Mortgage: $12,507.69Loan To Value Ratio: 80%Debt Coverage Ratio: 1.5044Unit Mix: 24 1/1.5, 47 2/2, and 1 3/2Scenario A:You'll purchase the property at a 10.77% cap rate (based upon his actual numbers), DCR of 1.6862 (assuming you get financing at 80% LTV with 7% APR); and you should receive an annual pre-tax cash-flow of at least $102,986.Scenario B:You could increase your cap rate to 12.1%, your DCR to 1.8949, and the yield of your annual pre-tax cash-flow by nearly $32K simply by reducing your vacancies and collections (from nearly 11%) to 5% of the gross rents (which is the norm for that area—so it's doable).

Even with a few months vacancy, at about $250 a month debt service, it's not too scary!

Rent = $850/month Expenses = $425/month (includes taxes and insurance) NOI = $425/month Debt service = $166 (just the P&I payment) Cash flow = $259Those taxes are horrible.

It is for elimination searches, so that those properties that make the cut can be more specifically analyzed.  

You can be the trustee of your own plan and eliminate the need for a third party trust company. 

Mike compares different situations of when you want to cashflow as much as possible vs. when you want to pay off your debt faster.

They will be looking at your debt to income ratio and debt service vs rent income on the other "investments".Good luck

His aim is to get a cash out land loan, so that his debt service is low while he gets planning done/gets shovel ready.