.------------$49,208 Net Operating Income$49,208 @ 8% Cap Rate = $615,100$49,208 @10% Cap Rate = $490,208$49,208 @12% Cap Rate = $410,066The numbers could slightly be skewed by higher/lower vacancy factor (5% is the lowest I would ever use).

I am currently living in the 4th bedroom as an onsite property manager in lieu of income (and of course, dividends and guaranteed payment).For the final four months of this year, I am currently generating $1025 in gross rent, with operating income (gross minus utilities and taxes) holding steady in the 60 to 75 percent range.

Also weigh license verses purchase...I like owning mine.Trust Accounts. you most have one along with a general operating account.Fair Housing.

You would only need to update your operating agreement for the new brokerage office.

With labels, you can find people based on one or multiple markets they focus on, the various "occupations" they may have (eg. investors who are also commercial brokers), based on their experience, and so on.For example:I want to network with investors who operate in the Los Angeles and San Diego markets, who are landlords and who have flipped at least 3 homes, you can now do that on our FIND MEMBERS page using filters.Since the filters are brand new it will take a little bit for the data to get populated, but we will be adding new labels in the near future that will allow us to all better identify ourselves for potential partners and colleagues.I hope that helps.

With a Professional Managment Company, I won't have to manage day to day operations.

They have experience and good references.The problem with property managers operating on a "time and materials" basis with their maint. staff, is that, regardless of what they tell you, they have no incentive to hurry (in fact, just the opposite, to keep these employees busy at your expense).

Keeping the type of investment that you are doing will work great if you are planning on making this a more full-time operation.

Numbers below:Purchase price: $125,000Down Payment: $25,000Mortgage payments: $6,084/yr (PI $507/month @ 5% 30 yr)Rental Income: $16,200/yrVacancy 5%: $810Property Tax: $900/yrInsurance: $800/yrProperty Manager 12%: $1,900/yrMaintenance: $2,400/yr ($100/door per month)Utilies: $300/yr waterAdvertising: $200/yrTotal Operating Expenses: $7,310Net Operating Income: $8,890Less Mortgage Payments: $6,084Total Cash Flow: $2,806Cash on Cash Return: $2,806/$25,000 = 11.2%Any errors in my numbers?

I have more intimate knowledge, but then again, I have loads of time.The buyer however is still anonymous.