Flip2freedom episode 77http://www.flip2freedom.com/a-3-step-formula-to-a-... - LISTEN TO THIS TODAY!

Of course in STR, your income depends primarily on how well you manage the property, so your miles may wary.Hi I saw your post an was wondering if there is a formula for the gross revenue to purchase price? 

You can simply copy the formula to a blank spreadsheet and start using it for yourself.

If property has a history of being on your tax return, if you have a mortgage on the property, and taxes and insurance are escrowed then this formula is what is acceptable for agency loans. 

This is with a 2500 deductible and the insurance uses some kind of complicated (Marshall and Swift) formula to come up to 40% of the replacement value (which gets it to about double what I'm paying for the property).

You've taken charge of your day and your life.I suggest following this formula every day you are going to work on this business.  

These formulas you hear whether on Bigger Pockets or other Podcasts don't always work.  

Say, his money plus your labor, then split the net profit 50/50.If you contribute some capital, then another formula I've seen is you take 25% of the profit and then split the rest of the profit according to your relative contributions to the deal.This kind of arrangement is quite likely to be more profitable for him (and less profitable for you).

Theoretically building wide improvements and individual apartment improvements still raise the rent, but the formula has been changed to eliminate the worth of such changes.

They don't just mark it up by $10,000 but instead use the formula above.