All Forum Posts by: Jaime Ortiz

Will,

Good to know. I will rework it using the 50% rule. So if I'm right 1100 for debt and $1100 for principal and profit. At 5% (just in case) interest the principal comes out to $644 according to mortgagecalculator.org so that leaves me with $466(233ea). Does that sound right? Seems like a good deal would you say?

Will,

Thanks. I got a 4% 30yr fixed. I have heard of the 50%. I was using the 1% rule and it comes above that . I will keep researching and hope to get at least a 10% return otherwise it will not be worth my time.

Hello BP,

I am about to make my first offer $161,000 for a 2 br 2 unit building. Income will be at least $2200($1100+ ea). Taxes are $5,000 a yr. I have to put 25% down. I'm guessing ins will be $1600 a yr.

Will this be a good cash flow? My analysis comes to about 18% Cash flow but I'm not sure I am calculating right. I added 1000 year maintenance. Might get some laundry money as well and storage.

What would be the highest offer I should make. It's listed for $175,000

Please advise.

Pam,

Thank you for your response. Makes sense.

Mary,

Your detailed reply is much appreciated. I will look more into SFR or Duplex. The only issue is most subdivisions out here have a HOA no matter the type of property. Again thank you and your advice is truly appreciated.

Hello all,

I am new to the real estate investing game. I have decided to start with buying properties for rentals/cash flow. I have a few questions if someone can help with.

1. I have read to stay away from condos in the start. Is this accurate? I see 20% ROI on some of the cash only ones.

2. I'm looking in the Plainfield, IL area since it is where I live. It is a growing community. What would be some good facts to find to determine my assumptions of the area.

3. What are the most important numbers to look at when deciding if a property is a good deal?

4. Would it be wise to buy off wholesalers? I don't mind putting in some sweat equity but I wouldn't do whole house renovations. If not, which website is the best to find a investment property.

5. Should I go with a foreclosure, short sales or conventional or look at all to see where to get the best deal?

Thank you for any help you can provide on this. I'm hoping to have a deal done before the end of year. If anyone is from the area of Plainfield, IL please send me a message and maybe we can form a network.