Posted by SC on March 16, 2001 at 09:00:42:
Thank you for your help
I’m not clear on ehat you mean by “mortgage replacment”
I lost the property anyway
The seller accepted an offer and I felt squezzed to make a deal you know?
I think I was emotionaly attatched to the property.
cash flow help - Posted by SC
Posted by SC on March 15, 2001 at 20:17:54:
Hello
I need help with a cash flow on a 4 unit poroperty I am looking at to buy. This is my first deal and I am scared and nervous and unsure of how to do this. Here it is
> asking price 249k
> 4 units
rent one at 625
675
two at 650
> total expenses 844.21
> net op income 1663.79
I’m not sure what the financing would be at. I figure
249k at 10% with 15% down would be 1851.736 per month.
This leaves me with a negative 187.946 per month!
Can I raise the rents up to the highest rent of 675 when I take over?
I’m in california is there a law against doing that?
How can I get a positive out of this negative?
oh yea there is an assumable of 72k
Re: cash flow help - Posted by terryr
Posted by terryr on March 15, 2001 at 22:37:22:
the way you are looking at it is cutting it way too close even if you reaise rents to $700 on everything - you MUST get the payment lower - seller may go in and replace mortgage and then carry back balance at a payment (regardless of interest) that lets you make a profit - DO NOT go ahead with this the way you have it structured