Billings, MT · Member since 2016 · 4 posts · 2 votes
I just found a house for $270K here in Billings, MT. It has a one bedroom one bath back house and the main house is a 4/2.75. Normally a four bedroom can rent for between $1,200 and $1,500 and the one bedroom for between $300 and $600. How do I figure out if something like this is a good deal? Is there a formula for this.
I am a total beginner and this would not be a place that I would occupy personally because I'm already in a great place with my family of six.
Looks like that is a MLS deal. It seems familiar. $300 is way low for the 1 bedroom in billings, if you are including having them pay for their own utilities you could easily charge 550+ a month.
As far as the big house goes sounds like you are in the neighborhood of $1200+
Let's just say total rent of $1800
@270k that is not going to cash flow well unless you are putting more than 50% down on the property. Billings is a though market for buy and hold right now. Values are going up and rents are going up slower. I would highly recomend looking at OFF market deals. Cold call, Drive for dollars, send yellow letters. Great deals are out there. They are just harder to come by.
There is one MLS deal that comes to mind... it is next to the MSU campus. 3/1 upstairs and studio down. Total rent of $1400 list price of $118,000 would cash flow well with 25% down.
Wanna partner on it? We have been doing rentals for 5 years now, love to connect.
Also there is a real estate meetup in billings on the 1st Thursday of the month at first Montana title. Look up meetup.com for more info.