Updated almost 6 years ago on . Most recent reply
How to calculate rental income on a sub 2?
Hi BP,
I am trying to help a homeowner out and I was wondering how to calculate the yearly ROI on a sub 2 property. The owner will keep the mortgage in place for the duration of the loan (26 years with interest on mortgage being 3.25% ).
20k purchase price with a 588.97 mortgage payment (taxes are included). House would rent for $1150.
Total payoff is 146K which the house ARV is 152k
If these numbers do not make sense, then maybe a short sale would be the next option. I've only done a sub 2 for a flip, but not a rental property so any advice you can give would be appreciated. Thanks!