Purchase price: $245,000 Cash invested: $55,000 Sale price: $375,000 1077 sq ft two bed, two bath condo used as a short term rental.

And, we insist on cash payments for everything. 

It gets paid for in 2 years and then I have pure cash flow off it.

Purchase price: $1,450,000 Cash invested: $2,000,000 Sale price: $2,300,000 Letter for bank financing:"Dear Debbie,We would like to apply for a construction loan to fund a project that we are currently finalizing our construction plans for.

Ya'll remember the "Cash Flow King" Matt Motil?

But per lot it will cost roughly the following:$1,500 Electrical poles, meter installation $2,000 water taps and connections$5,000 grading and land prep$8,000 septic installation (assuming a 1:1 ratio of homes to 1000 gallon septics)$5,000 down payment on each home ($700-750 / thereafter per unit)$21,500 total set up x 17 = $365,000Ongoing expenses after development would look something this for POH model: $12,750 a month in mobile home mortgages (17 x 750 for PITI on each unit) $1,900 a month in land mortgage PITI (house) $3,000 a month landscaping$2,000 a month in reserve emergency fund$2,200 management$21,850 a month total expenses $262,200‬/yearOngoing incomes after development would look something this for POH model:$27,000/month ($1500 x 18 {17 mobile homes plus house})$324,000/year324k-262,2k = 61,800 net pre-tax profit or $5,150/month.Opportunities to reduce start up expenses: Bulk deals with the government or contractors for doing all the work at once (electrical, water, land grading, septic) Trade free rent for someone to mow and landscape (turning a $3k event into a $650 event every month).

What’s a good rule of thumb to follow when starting a business or owning multiple properties for how much you should set cash aside to go towards the mortgage, expenses, emergencies and paying yourself?

We have a partnership with BP so you can start off with a free plan and move on from there.

If I can help answer any questions feel free to reach out or send me an email I have over 18+ years in REI & Finance. 

I am a US lender based in Toronto.Feel free to reach out with any question.