What next/getting off the ground

[Matthew R Curcio]

So I was on the cusp of buying my first property, a two family (one three bedroom and a one bedroom) for around 110k but after inspection it needed major repairs so I backed out.  I liked the property because the 3 bedroom covered the morgage and expenses so the one bedroom provided around 650 in cash flow.  What I didn’t like was it required 25% down and closing costs so it would be 4 years and sone change to get back my investment (cash flow wise)

I can get a one family for only 10% down but I can find one that cash flows more that 2 to 3 hundred a month and I’m not sure it’s worth the risk/hassle. 

I really want to get this started but I’m not sure what to look for right now.  I want the cash flow so I can save it and reinvest into more properties.

[Account Closed]

$650 a month with $27,500 down is a 28% return. That’s huge, with a cap rate that high the fact that it needed major repairs isn’t surprising. I’d be surprised if it didn’t need a gut rehab. Your going to have a hard time getting big returns on something that’s rent ready. Four years to recoup your down payment sounds pretty damn good to me. $200-$300 a month cashflow on a single family with 25% down seems about right depending on what part of the country your in.

If you have enough to purchase with cash you could do the BRRRR strategy. That could give you the returns your looking for. But you need enough to buy and rehab with cash.