Hi @Joshua SwangerCost for start up and then annually can run anywhere from $1500-3000 a year.

I am under contract on a 6 plex in Price Utah and need some advice.After crunching the numbers fairly conservatively I come up with an annual cash flow of 7,896. this is an average ROI of 20%!

For Reference:  Our $300k rental home pays $1714 annually in Prop Tax.

Those both meet monthly and have very reasonable annual fees.

Hi @Paul HoRent Assumptions A: Annual Rent Revenue $18,600 (Monthly Rent $1550*12)B: Vacancy 10% 1860C: Effective Gross Income = A-B $16740Opex - 50% Rule D. $8370NOI = C-D = $16740 - $8370Total Debt Service = $7981 (Downpayment 10% Interest Rate 4% Term 30 years)Cumulative Cash Flow YR1 = NOI - Debt Service = 8370 -7981 = $389Cash on Cash Return 3.2%Cap Rate 8.4%DSCR 1.0Overall you will cash flow based on this deal.

SourceLandlords kept financial pressure on tenants last month, as annual rent growth far outpaced households’ other costs, according to data released Friday.The cost to rent a primary residence rose 3.5% over the year through April, while the overall consumer-price index dropped 0.2%, dragged down by plunging energy costs, the U.S.

I wrote about the various methods here: http://www.biggerpockets.com/renewsblog/2015/04/19/calculate-improvement-ratio-increase-annual-depreciation/

Lenders love it and it's usually a requirement to submit annually on commercial loans.

. $26,000/$160,000=16% annual return on your money.

If you are going to use private money, get a business prospectus and presentation put together, write down names of people you know that may have money to invest and sell the benefits that investing with you offer such as aggressive earnings, secure collateral, potential annual earnings, they become the bank etc, attend any real estate meet-ups in your area, and sell yourself.