I Can't Seem To Pull The Trigger
I just can't seem to pull the trigger. I have seen houses that would make about $175 a month, and muli-family properties that would make $75-100 a unit. Part of the issue is that some of these properties are in so-so areas, but some are in decent areas. I just can't seem to "seal the deal and take the plunge". Any advice?
Comments(0)
Well, you gotta start somewhere. And in more cases then not, you start off a little at a time. Sounds like a so so deal so far, can yo ugive a little more info about it?
Eric
Well, you gotta start somewhere. And in more cases then not, you start off a little at a time. Sounds like a so so deal so far, can yo ugive a little more info about it?
Eric
[addsig]
The house costs 20K, needs 7K worth of work. Should appraise for 38K after repairs. Can rent for $525. Monthly morgage would be $150, and monthly tax is $100. The tenants pay all other untilites. I am alos putting in another $150 a month for a reserve fund/vacancies, etc. I would make $125 a month, and have 11K of equity in the house. The area/city is an older town, has 80,000 people, has a stigma, but the town is growing slowly. Most people in town don't make a whole lot of money, but they can afford the rent. The average family income in the city is $31,076 from the 2000 census. What do you think?
if you can't "pull the trigger" it's likely because your unsure of the deal. that's a warning that you do not have enough info. to make a comfortable decission. kenmax
Let me offer this advice as a new investor wait to become a landlord. You need to have a better understanding of cashflow. Try to buy this house for $16,000.00+7,000.00=$23,000.00+$15,000.00 potential profit=$38,000.00 FMV.
Where will you be in 10 years if you DO invest in Real estate?
Where will you be in 10 years if you don't?
Even if you take a very conservative approach and buy 2 SFR's per year for the next 10 years. Each one cash flows $200 per month. Do the math. Now, what if you buy 5 a year??? 10??? Toss in a couple of plexes.
One of my favorite quotes is "Feel the Fear and do it anyways." Fear is ok. Doing nothing is not.