How much in repairs does the property need?

Assuming you don't go up in total amount borrowed (or total loan length) from house to house, and assuming you are making a true profit each time, and assuming you apply that profit to the mortgage, then yes, you will pay off your house more quickly.For this to work, though, the profit needs to be from your improvements (repairs) and not appreciation.

The repair cost wont show on the HUD but its a real cost and factors into your evaluation.

i dont see how its a good deal wtihout knowing the expenses to make it worth over 1million.... but okay. good luck. what are the estimated costs of repair and i think its +10% for incidentals?

With that unit filled, I should be able to cover all expenses and have about $100/mo cash flow (which will go directly into an acct to save up for any repairs down the line first; once that's built to my satisfaction, it'll go towards paying down the HELOC.)If all goes well with this unit, I hope to buy another by years end.

Originally posted by "Unibrook":On the other hand, tiling the complete floor first allows for cabinet re-placement later on.And dishwasher replacement/repair.

Anything older than 10-20 years expect to be contantly replacing/repairing.

personally, i'd start with a CASH FLOWING rental.one that needs some repairs and that you can buy below market - over 30% and is in a decent neighbhorhood.i personally don't like the idea of SFH rentals - neighbhors don't like you very much no matter how well you/your tenants keep the property.but 2, 3 or 4 unit complexes - still residential - are nice for a few different reasons but for one - they're all under one roof.

After Repair Value

Last year I found a 4 bedroom 2 bath house that needed a whole lot of repair for $18,000.