Updated about 15 years ago on . Most recent reply
Cash Flow Property Numbers
Hello everyone, i found a townhome 3 bed room 3 bath 1 car garage for 78,000. I will pay cash for it so there will be no loans involved. After sitting down and doing the numbers hoa fees, insurance, taxes, I would net a profit of 620 dollars a month. I wanted to know do you guys think 620 dollars a month is a good return on a 78,000 investment???
Most Popular Reply
NO!!!!!!!!!!!! That deal sounds wrong for so many reasons.
1. Town Homes are tough to re-sell
2. I would only pay 78k cash if it were worth 150k+
3. All of the B.S. HOA fees and board of trustees you gotta deal with.
Unless you are so liquid, and have nothing else to do with your money, and there are not any single family homes out there in your area to buy, I would RUN from that deal.
Keep in mind that this is just my opinion, and I am just speaking from my own personal experience over the past 15 years. Others may disagree.