Pretty rare from what I see that cities allow or want this....turns single family neighborhood into multi family and most of the zoning people don't like this.Plenty of issues from their point of few of why they don't like it.....parking is one...now no one parking in garage, and potential for more cars...so now 3-4-5 cars in the street.More taxing on the water/sewer/trash/police/fire/city services.I wish you the best of luck with this. 

We run the number of these properties on the calc of BP and they would give us with conservative numbers on the rehab (estimating to put more than needed) and on the rents (market rent but conservative), good returns, like Cash on Cash return (CoC) between 2-6% and Cash Flow between 986 to 12000 per year, so anything from 100 month to 1000 a month, after expenses were taken, so from this cash flows only taxes are missing to be taken, with some properties needing us to put from minimum 40k to 90k down including rehabbing them.

There are also additional costs of operating and maintaining an LLC, like separate bank accounts, annual report filings, tax filings, etc.2.

Once you have that figure, estimate the monthly payment and potential rental income to calculate your DSCR ratio, ensuring it meets your lender's requirements.

You’ll need this for taxes and opening a business bank account.

When you're looking for your first rental - I would suggest using a mortgage calculator to help you calculate your monthly expenses vs rental income.

Sellers Info-Main interest: minimizing capital gains/taxes, preserving estate for his kids-SFH free and clear, no mortgage, purchased 30 years ago for ~$150k-Currently acting as landlord, very likely doesn’t want to continue in this capacity My info:-I want to cash flow the property now -I want to purchase the home now or in the future Property info-No tenant, rent comps $2600-2800-Current comps of $290k-320kI don’t know the sellers full financial picture.

Best thing you can do to maximize your entitlement is to choose a 2-4 unit so you can have a higher county loan limit and you can use 75% of the other door as income to afford a higher purchase price.

Hello,All else being equal (other than the 2022 tax abatement for the gray’s ferry property) what area do people think would appreciate more and offer best rents?

Myself and 1 of my brothers are in college, while the other brother is 1 year out of college making approx. $70,000/ year pre-tax.