My husband and I are looking into real estate investments. Our goal is to buy and hold for our first investment. We currently own two homes, our main residence has an in-law apartment that we rent out on a short-term basis because we are in a tourist area. We also have a second home in another state that we rent out as a short-term rental in a college town that we have to travel to regularly. When we are there we stay in one of the units.
We have been looking in our state specifically in Upstate NY in an area where there are skiing and hiking opportunities. We found this 5 unit and we are running the numbers based on long term rental, currently the tenants pay below market value. We may consider turning 1-2 units into short-term rental properties so that we have increased income from those but stable income from the others.
I'm just wondering if I am missing anything with the numbers. I read through the forum and took a lot of the advice given to others when I did my estimations. Thanks in advance for any advice you can provide!
*This link comes directly from our calculators, based on information input by the member who posted.
@Elizabeth Harding I'd suggest 10% across the board with regards to capex, repair, mgmt and vacancy. At least thats how I run my business. Better safe than sorry is the way I look at it.