All Forum Posts by: Corinna N.

We've been in a few of these highly discounted properties and the ones where the 2% rule works. There are usually structural problems, broken pipes/massive mold, all major mechanicals need replaced as well as old windows and roofs. I agree these would be great investments for the people who have the time and aptitude for such projects.

We've been looking for something a little more turn-key, and I realize with that comes less profit.

You've all given me more to think about. Thanks for your feedback!!

Thanks Jon.

We'd put 50% down, mortgage of $39,000. No PM fees, we'll do the work. I agree with you about the roof, the AC will also need to be replaced in the next few years.

Thanks for the feedback!

Hi everyone, looking for opinions on this one.

First, I'll say we're planning to use this as a rental property and sell it in about 10 years.

- Safe, older neighborhood with small homes near a military base.
- SFH Ranch style, 2 bed, 1 bath, 1 car detached, 730 fsf, unfinished basement, built in 1944.
- newer furnace, older central air, 10 yr old roof, newer plumbing, updated electrical service, vinyl siding, new windows and doors.
- needs about $2,000 in small repairs to be ready for tenant.
- purchase price $77,400. (county assessed at $86,000)
- Rent 750/mo
- taxes 144/mo
- insurance 46/mo
- rep/maint reserve 12% = 90/mo
- vacancy reserve 8% = 60/mo
- other reserve = 10/mo
- mortgage P & I 247/mo
- cash flow = 150/mo
- Cap Rate about 6%

Ready for your thoughts!!

Hi Jon, thanks for the welcome.

The local economy here is pretty good and our housing market didn't crash as bad as other parts of the country. Properties that are in good shape and priced right tend to sell fairly quickly. Not many super bargains to be found.

I think the market for flippers is pretty good if you want major projects and mold elimination. Have seen alot of really bad properties in good locations.

We've been looking seriously for a buy-and-hold in good shape for about a year. We've been very selective for the right neighborhood and price range, so not too much inventory in our category.

Hi everyone, been lurking for awhile and finally joined. Love this site and all the great information that is shared. My husband and I are going to try our hand at landlording. I'm sure I'll be back here often to get questions answered and hopefully provide some info back to the group.