'B' class 4 unit San Antonio...how much net/door?

Question

@BrandonTurner talks about $150 net per door in his properties usually, but his gross rent is like $700/door. Who in San Antonio can tell me approximately what they net per door? Is $250/door outlandish on $1,250-1,300 gross per door?

Thanks!

Account Closed · Answer

@Will Pritchett I appreciate your response, thank you! That makes much sense; however I should have been more specific...I was curious regarding MF units rather than sfh. All great points though.

Will Pritchett · Answer

I think these terms are open for interpretation in that some people estimate different values for vacancy and repairs etc. when calculating these numbers.  I will say that we like to clear 400 dollars per door after PITI but that doesn't account for a particular percentage in each expense category.  I find this metric easier to estimate "apples to apples" is a sense.  And this for houses with ARVs under 160K.  We use the BRRRR strategy often and try to recoup most of our capital after the refinance so this is a satisfactory ROI for us.  Everyone has different standards.  Of course, if you put a lot of cash in, you can increase your gross cash flow but not necessarily your ROI.  I hope this helps.