[Calc Review] Help me analyze this deal

1 Reply

View report

*This link comes directly from our calculators, based on information input by the member who posted.


Okay I got stuck at the loan part. 

ARV: 290k, if property was purchased at $215, $30 rehab (overestimating it), taxes are $92 a month. Would rent for $1600 a month. I have not tried to get hard money loans yet or personal so I am taking examples of what i've seen others use to just run these reports and get better at it. But for the amortization of the first loan (which would be a private/ hard money loan), wouldn't the amortization be in months? I used 3.5 as the points. I put 30 years and that isn't right. I would want to do a 3 or 6 month loan and then quickly refinance to a 2.99 30 year loan at 75% LTV. So how do I adjust the numbers? TIA!!! Newbie and just trying to get better at looking at things! 

@Kristen Fennig How much are you willing to lose each month? Losing almost $400 per month after refinancing. Need to be close to the 1% rule to cash flow. Monthly rent /1%=Purchase price. $1600/.01=$160000.

Private money can be interest only or amortized over 30 years. Run an amortization schedule and see what you owe after 6 months. Cash out refi is 75% of ARV. 290k*.75=217.5k. Leave about 30 k in property. Interest rates for non owner occupied are higher. Most lenders have a seasoning period of 6 months before they will do a refi.

A single family home shouldn't have any utility expense. Taxes seem low on a 215k purchase price. Most areas it is between 1 and 2%.