$12,000 in gross income, less $2,400 in expenses = $9,600 yearly return$9,600/$100,000 = 9.6% cash on cash returnFinanced:$20,000 down - financing $80,000 at 7%Monthly payment (P&I for 30 years) $532With Taxes & Insurance $732/monthNet income: $1000 - $732 = $268/month * 12 months = $3,212/year$3,212 / $20,000 = 16.08% Cash on Cash returnI would also point out that interest payments aren't really a negative on the financing side, because your tenant pays all the interest.  

If you are getting a true turnkey home that hit's the 1% rule there's a very high probability you are in a more challenged area where the residents aren't as consistent over time. 

This question is one that has been asked and answered like a billion times, but the search on here isn't the greatest.The short version is - unless you have cash to buy or are getting a DSCR loan or buying a commercial property, you aren't starting an LLC to put this in.

Alot of sellers aren't versed in that so if you can educate them you can probably get them to do so. 

Do you mind sharing why deals in HSV aren't working for you right now and why you're selling more than buying?

Admins @Rene Hosman, is there any way to go back and delete all of the downright dangerous advice he gave to beginners over the years on here so that the forum archives aren't full of BS? 

Again, the feeder saves a lot of time so you aren't constantly reinserting envelopes to your printer. 

Plus there aren’t many duplex in oc, SD might I’m not sure. 

So, make sure you are always looking to acquire properties, but I wouldn't hold that goal over your head because you might make bad decision to get your number when the deals just aren't there.

@Steve Rozenberg Aren't you a property manager?