Originally posted by "SADEV":Cash flow is great but you are only a couple of unexpected capital improvements away from a mediocre if not negative return.Yes, if you have to purchase a new roof, you will likely have negative cash flow on that unit for that month.

Sunk $70k in top to bottom repairs, new kitchen, roof, windows etc. and did not borrow more than I absolutely had to. 1031 exchange replacement.

I am planning on redoing the roof and siding of a building that I just purchased, and want to estimate how much it could potentially increase the appraised value.

It needs a new roof.

However town hall says he never pulled permits for any of this as last permit he had was to add a dormer and roof only.So sounds to me like we got an illegal fin attic.

I'm hesitent to join the REI club in georgia just yet, because the memberships are sort of steep for my current up in the air financial situation.I did have an interesting meeting with a close friend yesterday - apparently she's wanted to get into REI for a while, but she doesn't want to "bother herself with the details".

Ok, here it is:My offer is 173k with 13K back at closing.Total Purchase Price $173,000Seller Concession $13,000 (roof repairs and closing costs/fees)Downpayment (15%) $25950Debt Service: $1330 per month Finance $147,000 x 9%= $1330Gross Rents: $2775 $400 (15% vacancy/rent loss)Effective Rent: $2370 Expenses $1100 (water, insurance, taxes, trash, grounds, misc.)Do I buy or pass?

3 family (brick) 5-5-3, 2bds, 2bds, 1bd--Gross $16502 family (wood frame) 5-5, 2 bds each, Gross $1150The 3 family needs roof repairs, facia, soffit.

20 Unit Brick Apartment, Pitched Roof (new x 5 years) Separate metered utilities (owner pays none)All electric central air/heatNo Vacancy, waiting list to get inDebt service: Asking 750,000 Get for 680,000680,000 at 10% down 7.75% 30yearYear:2007Scheduled Gross Income:$125,400 Vacancy: $3,000 (never know) Effective Gross Income:$122,400 Maintenance: $8,000 Taxes: $2,809 Insurance: $8,000 Management/Grounds/Misc: $18,502 Total Expenses: $37,311 Net Operating Income: $85,099 Debt Service: $53,573 Pre-Tax Cash Flow: $31,526Monthly Per Unit Cash Flow: $138.202 bed 1 bathNo.

We built big homes ... 10k sq ft and up ... so I had the opportunity to get to do everything from basements to roofs and there was a lot of attention to detail.