But some article I read (it was just talking about how rent income was not increasing as much as expenses) made me think of future of real estate investing, and wanted to hear your opinions and perspectives about future of real estate market.Let's face it, we are taking advantage of people who can't purchase a home to make profit for ourselves. 

I'm not sure if that is what your expense for heat is or not. 

Windows aren't as energy efficient t and expensive to match.

Total monthly expenses $1650 with a 15-year loan at 5% interest rate. 

@David Harley I agree with Heath you are low on your expenses. $812/month for rent in that area also seems a tad bit steep, unless they are extremely nice units.

Plus, aging more for an experienced team will likely be less expensive because they can do it faster and faster saves money in holding costs and opportunity costs.

But I already said no way I will cosign on that loan.Yes, that would be my plan getting a bigger house or an actual duplex so we can leverage some of the expenses through rent, but my parents and ironically brother are saying I cant think of that house as an investment because my parents just want a house to live comfortably their retirenment (which makes me ****in mad) because its such an stupid idea especially with our situation.I am extremely frustrated, everybody is making me seem as the bad guy that doesnt wanna help the family because I have my own plans.

Download PDF Edit Report Discuss in Forums Other Actions $1,500.00 Monthly Income $786.67 Monthly Expenses $713.33 Monthly Cashflow 12.53% Pro Forma Cap $10,024.00 NOI $18,480.00 Total Cash Needed 46.32% Cash on Cash ROI 18.26% Purchase Cap Rate Expenses Income 50% Rule Total operating expenses: $664.67 Mortgage expenses: $122.00 Vacancy: $75.00 Repairs: $75.00 CapEx: $75.00 Insurance: $150.00 Management: $150.00 P&I: $122.00 Property Taxes: $139.67 $54,900 Purchase Price Purchase Closing Costs $2,500.00 Estimated Repairs $5,000.00 Total Project Cost $62,400.00 After Repair Value $80,000.00 Down Payment $10,980.00 Loan Amount $43,920.00 Loan Points $0.00 Amortized Over 30 years Loan Interest Rate Monthly P&I $122.00 Total Cash Needed $18,480.00

It's harder to rent out a place for Dec and Jan plus l live out of area so there will be expense involved to rent out place again but to me that would be easier.

It's ratio between all your expense and your rental income.