Posted by Jim Rayner on March 08, 2000 at 17:03:30:
Before we can structure a deal for financing it needs to be a deal. Based on my cash flow requirements this deal is a non deal matter of fact it would cost me to own it. For rental property to produce at my expected rate of return with a monthly rent of 600 the maximum purchase price could not exceed 41K in good condition. Any required deferred maintenance would be deducted from the 41K and any rental increase potential is not taken into consideration. if i use my handy little formula the monthly rent would have to be 1047 to even begin to justify my interest in a 72K purchase. i would look for a better deal.