How to correctly calculate rental income -cash purchase NEW here

[Lorena Bermudez]

New member!  A family member is about to make an offer on a condo in Orlando for rental investment , this will be paid in cash - both places have renters. 

first one : 

2674 Robert Trent Jones Dr Orlando, FL 32835 - They'll offer 175K ( I think they should offer less )  on the market for 80 days (per Zillow) 

second : 

6025 Westgate Dr 2511, Orlando, FL 32835 - Offering 220 K - in the market for 13 days (per Zillow)

I tried to calculate the rental income but I'm not sure I'm doing this correctly and I would like to give better numbers to help out since it's their first rental purchase. I'm making sure they follow bigger pockets from now on. 

Help please : ) I'm Still learning ...

Lorena 

[Shawn McCormick]

@Lorena Bermudez The Metrowest area is full of condos and there are always quite a few to choose from, the prices there have shot up in step with the rest of the market over the last year and most aren't worth it. The average rents for that area on the 2/2 that you are looking at should be right about $1800 and if both places have renters and they have an actual lease in place (not month to month) then you will have to take over the existing lease until it ends. So calculating returns should be easy, both of those units have HOA's around $250-280 and since you are a PRO member here, use the rental tool calculator to help figure out the rest.

Hope this helps