Minimum Cash Flow for Rental Property

[Daniel Sabato]

What’s the minimum cash flow $ amount you’d accept when purchasing a rental property? I know the property itself will more than likely appreciate over time & when the loan is paid off down the road the cash flow will jump, but initially what’s the # a lot of you are looking for to make it worth the up front ivestment?

[Charles Carillo]

@Daniel Sabato

Returns are very subjective to the investor. We like to see cash on cash returns of at least 8%-10% and we stress test the deals so they are still covering all debt and expenses with 75% economic occupancy.