All Forum Posts by: Nikolas Komatina

@Theresa Harris

Got it and for my variable expense, I removed the management fee because I will be managing it and removed my extra $100 for custom expenses. My Variable expenses are still about $100 dollars more than my taxes, for all the properties I calculate. Like you said before my second biggest expense should be my taxes. So should I lower the percentages in my Variable Expenses?

@Theresa Harris

My property taxes are around $310 for the properties that I'm looking at, and what do mean by maxing out my mortgage?  When doing my calculations It seemed the largest Expenses where Mortgage, Variable Expenses (Cap Ex at 7%, Repairs and Main. at 7%,  Vacancy at 5%, Management at 10%, and have other at $100.) and then Taxes in that order. 

Its clear that my variable expenses take a lot here, what do you recommend with Variable expenses?

So my main focus was looking for Single Family homes, but I will expand to search to complex's with separate units, as that would help me out more with the cash flow of the property, with the combined rent like you mentioned.

Also, looking at the properties here for single family homes,  properties below $300,000 need some work. So I guess my next question is should I look for properties at a higher price point if it cash flows (which so far I haven't found any) or looking to rehab a property for a single family home. 

And I will look for a unit with serrate units, and see that will help my cash flow as I think it will with your explanation.

I have been trying to find a property that cash flows. The market that I am looking at has an average price of $360,000 with an average rent of $2,200 which does not have a very good rent to house price ratio (2% rule) . I have a loan pre qualified for $300,000 with 10% down with 5.7% interest rate. With finding a cash flow property in this market I would have to find a house for $150,000 and renting it out for $2,200 (including all fees and Mortgage). Or putting a bigger down payment and still finding a deal fairly below the the average housing cost in this market. I have contacted realtors to help me find a property but no success yet. I am also looking at other ways that I can purchase a property for a lower cost such as looking at forecloses and driving for dollars. Is there other creative methods to look at this, maybe BRRR?