Does anyone know what sort of net income steve was getting when he bought 26 houses at about 50k each in his book? How much can you expect to earn in positve cashflow for a 35k home returning $90 a week in rent.Many thanks,
Mike SlodyczkaIn the beginning, you can get approx. $50.00 +CF per property.
I’ve found a way to help you save and earn whilst not selling or delivering any product. If interested, drop me an email or PM me to find out how
Ok the way I work out return is a little different. Rent is 90/purchase of 35 which is 2.5714 to 1 ratio. Given that 1/1 is equal to 5% return($1 dollar for every thousand invested)and that 1.5 to 1 is 7.5% by the same criteria, this property is approximately 12.5% gross return. Not too bad.
So with you having an approximate mortgage of 7% and allowing another 1 % to cover management fees you are 5% return clear of basic costs. Maintainance and rates are the only other considerations so this is quite a nice toy to have in your portfolio.
Good Luck with it.
DD
Don’t sweat the small stuff,and it’s all small stuff!!
Yea, but you also have to factor in PM costs. Even without them the net weekly return is nowhere near $50. What kind of rent would Steve have been getting per property? Then again morgage rates probably would’ve been lower..
You must be logged in to reply to this topic. If you don't have an account, you can register here.
