Updated about 2 months ago on . Most recent reply
Negative cash flow on Multi family unit
Hi everyone
One of our 4 unit rental does not meet the 1%rule and its been negative cash flow for almost 2 years
Question is should I keep it until the market make it up on the rent and property appreciate or sale it.
If we sale it it will hit $200k lost at this market.
It is in dfw area.
I appreciate your thoughts in advance.
Most Popular Reply
Questions:
Why isn't it cash flowing? What made this look like a good purchase at the time?
Is it's current use as a residential property the best use? Could it be rezoned into something with greater potential?
What do you anticipate will happen in the market that will change it to something other than what it is today? And, if that happens, how long will it take for the property to cash flow? To recoup losses? For market values to increase substantially?
Are there other options? Can another income stream be added to the property?
A long-time, proven financial principal is that you can't time the market. Waiting and hoping isn't a viable strategy. I hope you'll share more information so we can weigh in with meaningful recommendations.