Besides the calculator how is everyone analyzing their numbers?
Hello everyone!
I am looking at a few properties and have a strategy in place I want to utilize with investment properties mainly in multi-families. So My question to everyone is that when you see a house that attracts your intention, how are you plugging in numbers to figure out if it works to your strategy and you're making cashflow with out the bigger pockets calculator? Do you have a excel spreadsheet formula that you use? I am trying to solidify why business plan solely on the numbers and was curious of different ways to analyze properties searching zillow,mls,and other websites.
Thankyou!
Most Popular Reply
For me, all I need is the net income. Make sure all costs are reflected there except borrowing costs. Net annual Income minus your annual borrowing costs = cash flow.
I am ALWAYS positive cash flow when I buy, no exceptions. Any growth from rehabbing to get rents up is a bonus earned by me. I never pay a seller for potential, I pay them for what they are giving me at that time.