Rental Property Investor · SE Michigan · Member since 2014 · 4k+ posts · 6k+ votes
8mo
I have a fairly simple metric. It must have cashflow.
I just look for deals that will cashflow, ideally at max leverage the bank will allow. And, I know that following that metric blindly will push people to buy deals in bad parts of town that look like they will cashflow but actually don't. I stay away from the bad parts of town and am looking for true net cashflow.
Rental Property Investor · SE Michigan · Member since 2014 · 4k+ posts · 6k+ votes
8mo
I have a fairly simple metric. It must have cashflow.
I just look for deals that will cashflow, ideally at max leverage the bank will allow. And, I know that following that metric blindly will push people to buy deals in bad parts of town that look like they will cashflow but actually don't. I stay away from the bad parts of town and am looking for true net cashflow.
As portfolios grow, how are investors balancing leverage with risk? Interested in strategies others have used to scale responsibly.
I’m having a hard time following the logic of the question… the question itself fights against self as in a contradictory statement. leverage is one of the things that makes real estate extra attractive.