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Updated almost 2 years ago on . Most recent reply

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22
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Amity Word
  • Atlanta
8
Votes |
22
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Just get started or focus on the ROI goal?

Amity Word
  • Atlanta
Posted

IN YOUR EXPERT OPINION, IS JUST GETTING STARTED WITH YOUR PORTFOLIO MORE IMPORTANT THAN MEETING YOUR MINIMAL ROI GOAL IN THE BEGINNING???

I'm a new investor looking to purchase my first investment property as a short-term rental under $300K in Atlanta, Ga.  

My minimum ROI goal is $12,000 ($1,000/month).  

There's a pretty solid 3 bedroom house I can go after and the income potential is approx. $10K annually. But the 3 bedrooms are all a little under my ROI goal.

The income potential on a 4 bedroom house is $15K annually.  

***The BIG QUESTION IS should I focus on meeting the minimum ROI goal or should I focus on just getting started with a solid property even though it's a little under my goal? 

I really want to make the best of my first investment since I would have to come out of pocket for soooo many airbnb expenses. 


Should I stop going after the 3 bedroom and just aim for 4 bedroom homes to meet my ROI goal?  

The issue:

The 3 bedroom home we found has a solid brick foundation, good area, move-in ready, turn-key, and a good way to just get started; but it just doesn't meet the minimum ROI goal.

or 

I can continue my search for a 4 bedroom home, that will meet my ROI goal. I'm worried that I could be spending more money on repairs, and that there's not enough inventory in the Atlanta market for 4 bedrooms that are move-in ready under $300K?

Most Popular Reply

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958
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Gene Hacker
  • Flipper/Rehabber
  • Lake Isabella, CA
483
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958
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Gene Hacker
  • Flipper/Rehabber
  • Lake Isabella, CA
Replied

If you think you can get a better deal then don't settle.  From your post, it is not easy to determine how hard you have searched for a great deal.  Is this home a deal?  Is it priced under the market? 

If you turned over every stone and this is the best property there will likely be then go for it. If you think there is likely a better deal out there...then keep looking!

  • Gene Hacker
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