Posted by Beth VA on February 25, 2002 at 21:20:37:
Joe thanks for the response. My error is 8% a month when it should be 8% annually of the annual gross income. Sorry I didn’t respond back sooner had surgery on the 21st to remove a gall bladder, OUCH.
Confused on Cash Flow Analysis for Sheets course - Posted by Beth
Posted by Beth on February 19, 2002 at 19:01:55:
I’ve done several cost analysis sheets on various properties. Sheets course says to fill in all the blanks then it later says that your cost should be no more that 19%. Each of my costs have been 40 - 43%. I don’t want to undercut but not put myself out of the ball park either.
Example: 69900.00 property w/58500.00 1st morgage
Rent analysis for area is 550.00 for this style home.
6600.00 Annual Gross
Expense: Annual
Tax is 1.11 per 100 for area 777.00
Advertise 30.00
Management 8% ext per sheets 6336.00
Maintenance 50.00 per single fam. 600.00
Misc 25.00 per mo single fam. 300.00
Just with the management fee I’m over. I keep coming up with 43% Expense not his 19% expense. Which is correct.
Dazed and Confused . . . - Posted by JoeKaiser
Posted by JoeKaiser on February 20, 2002 at 06:37:58:
Beth, I think the 8% is probably based on the income, not the sales price. $523 per month to a property manager is a little high ;-).
Joe