Hi Brandon, the water, sewer and garbage numbers look pretty high to me. Are those correct? As it looks now you would have some okay appreciation but no positive cash flow till somewhere between years five and 10. I guess it depends on what your goals are but this doesn’t strike me as a particularly good deal. I’d be interested to hear what some other more experienced investors say as well.
Jason I also posted this thread on the new members page and other members said the same exact thing. Overall not a good deal I guess. I'm still going to look into the water and sewer!
Whoa. Are all these real numbers? I know you’re looking into water and sewer. No possible way it’s that high. Also, are you pulling actuals for taxes and insurance? And it appears you will self manage, but it’s usually wise to account for some expense there as well. And 5% mortgage rate might also be a little high, but not much.
I know some people dislike the 1% rule of rents to purchase price, but I think it’s a good dirty starting number. If you’re less than 1% and you have to pay for utilities, it probably is a bad deal.
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