Hi all. Newbie here. Quick question: After I subtract my debt service from my NOI, I'm left with a % of pure cash flow (this includes setting money aside for repairs, cap. expenses, prop. management, i.e. all expenses...
What is considered a good cash on cash return on cash offer?
Background: Looking to house hack a multi family 2-4 unit. Two financing options: Conventional 20% down vs FHA3.5% When I analyze these properties I am realizing a theme. Higher down payments are allowing for higher c...
If you’re looking at a fourplex and each unit cash flow 200 but the cash on cash return isn’t more than 5% will y’all do the deal?
Lately I’ve been torn on which path to take. I typically shoot for Brandon’s suggested minimums of both cash flow and cash on cash ROI, and I have achieved that with almost all of my investments i currently have. My q...
I'm looking at an incredibly cheap 2-family ($16,000) that actually has month to month tenants (~$1k gross/mo). The numbers could be very appealing no matter what "rules" you apply.
There has to be a reason it's a s...
When syndicating a deal, a good CoC return is considered to be greater than 10%. Are fellow syndicators aiming to achieve this as an average over the life of the deal or from day one of the deal?For example: The busin...
I noticed when running the rental calculator that the Cash on Cash return increases in out years if the analysis calls for rent increases and property appreciation. I have also read about investor guidelines seeking ...
Does the COCR change over time or is that relevant? For instance, if it is determined that the COCR is 20% before purchase and rents are increased during year 2 and the COCR increases by 5%, is that relevant and shoul...
I was wondering if you guys include principal deduction as part of the cash on cash return calculations. I mean the equity is yours and will be able to cash out upon sale.