Real Estate Agent · Chicago, IL · Member since 2013 · 57 posts · 18 votes
Hey RE Investors, quick question, how much cash flow do you typically look for per month for a rental investment? $300 p/month, $600 p/month or more? For a typical townhouse where rents are $1400 per month not multi family.
Real Estate Broker · 3412 S. Harlem Avenue Riverside, IL 60546 · Member since 2015 · 6k+ posts · 5k+ votes
4y
@Rob Shah I like to focus on the cash on cash return as opposed to a dollar per door metric. I also like to look at return on equity, and I do my best to gauge how much my total return every year is including appreciation.
Investor · Boise, ID · Member since 2014 · 3k+ posts · 3k+ votes
4y
I operate in a mostly B and better market with no rental regulations whatsoever. Reliable and aggressive appreciation, so I want my properties to at least break even the first year, then I start working on annual rent increases between 5-10% to create better cashflow. All the while my equity grows so I can start leveraging that in to more properties without having to save up another down payment. My market had approx 40% appreciation YoY in August, so you can move quickly with little capital.