Skip to content
Two investors reviewing resources on a laptop

Get industry-leading resources — for free

Unlock resources for every investing strategy and stage with a free account.

By continuing, you agree to BiggerPockets LLC's Terms of Use and Privacy Policy

Followed Discussions Followed Categories Followed People Followed Locations
General Real Estate Investing
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

User Stats

13
Posts
10
Votes
Bradley Shuhart
10
Votes |
13
Posts

How much negative cash flow is too much

Bradley Shuhart
Posted

I have an opportunity to assume a loan at 2.5% in a HCOL SoCal community. Even at that rate I will still be losing about $800-$1000 per month with a renter due to HOA & Mello Roos. I'm ok with a negative cash flow for a couple of years because its in an area that should continue to appreciate. My question is how much is too much negative cash flow? Is there a general rule of thumb or is it based on personal tolerance. Thank you!

Most Popular Reply

User Stats

13,769
Posts
19,908
Votes
Joe Villeneuve
#5 All Forums Contributor
  • Plymouth, MI
19,908
Votes |
13,769
Posts
Joe Villeneuve
#5 All Forums Contributor
  • Plymouth, MI
Replied

$1

Loading replies...

1 2 3 4 5 6