Updated 7 months ago on . Most recent reply
Potential Market Crash
I am new to the real estate investing game but it is my hope to close on my first deal this year. If I close on the deal and make good cash flow and the market crashes, what happens? If the value of the home goes down would I not pay less on the loan? And would my tenet(s) be able to still pay off the mortgage and other expenses?
Most Popular Reply
Market crash is the problem for the house flippers if they pay too much price.
If you are making good cash flow, market price doesn't have any effect on you unless you will need to sell the house. This is the reason I only invest in long term single family homes with at least 10% cash on cash return & stable cash flow.