I was thinking I would reinvest some of the rental income to make some minor repairs/maintenance around the home.

When dealing with two separate houses on the same lot being sold together, it is important to consider several factors in determining how to calculate potential rental income.

Until then, Id really like to set up some passive income in the city based upon buying and holding units for rent. 

Typical rates are 8-12% of income either monthly or yearly depending on manager.

If you are selling your business, what are you two doing for income now (goes toward financing ability)? 

Are you able to take advantage of the ADU as an expense against other income (W2 other gains) where you could get back most of it? 

@Erika Caba I think if at the end of the year when you can evaluate the situation as a whole with everything taken into consideration and are looking at your tax returns if your goals have been accomplished with this building, whether it’s positive cash flow, off setting W-2 income, whatever, then I’d say it’s too early to throw in the towel.

Typically, your stabilized operating expense ratio (Total Operating Expenses / Effective Gross Income) should be between 35% and 50%.

The number of properties needed to generate $15k in net profit each month can vary greatly depending on several factors:Purchase price and down payment: More expensive homes require higher initial investment, but may also generate higher rental income.

You will run out of money for down payments quickly buying rent ready rentals & the STR income can fluctuate greatly depending on the season / state of the economy.