Can't make numbers work for my first deal
Hi all... I've been analyzing a lot of deals from realtors and loopnet and I just can´t make numbers work. The price that comes out of my math is just to low that I don't know if I should even try to make an offer.
My math is simple: 1) Gross Schedule Income - 7% vacancy - 50% Opex - loan payment = cash flow (I'm expecting 100 dollars per door)
2) NOI (adjusted form realtor with the above criteria) / 8% cap rate (Florida market).
Appreciate your comments!
Best