Purchase price: $250,000 Cash invested: $40,000 Took a three bedroom ranch home and converted into two separate apartments with two tenants.

I need to buy a property and leave closing with cash in my pocket.

I did a cash out refi and took out 100k!

What is the Cash-on-cash return?

The rate difference between FHA and Conventional is actually over 1% right now for Multi family propertiesCurrently the rate offered is 6.75% and 193/m in PMI (private mortgage insurance)That makes the payment with taxes and insurance roughly:$3453/monthTaxes were $3820, and insurance is $1800/yrCurrently this building can rent each 2 bed unit for up to $1800/m with tenants paying all utilities.All in cost to close is: $71,414.64If you rent both units for $1800/m you can expect gross cash flow of $147/mThis is the reality of buying a turn key duplex in the area using todays rates and prices.I want to stress, that this is actually considered a great property and deal in todays market for the areaYes, prices are high, and so area rates...My goal is to show what is actually going on.

While it's more work, many owners successfully manage their rentals this way and save on management fees.

There are many different successful strategies depending on your cash, borrowing ability, rehab skills, time, local contacts, or lack of any or all of them.

Purchase price: $270,000 Cash invested: $40,000 Sale price: $359,000 Contributors: Peter Vekselman Partner Driven, in collaboration with Seth Choate, successfully completed a fix-and-flip on E Wildflower Lane, Fresno, CA.

Cash-out now or hire someone more competent to handle your affairs. 

I compare leverage, insurability, taking write offs, cash flow, monthly  expenses, transportability, speed of decline in a crash, ease of unloading in a crash, forced equity improvement, things like that.