Re: Need Help creating/selling a note!! - Posted by Charles - DFW
Posted by Charles - DFW on March 13, 1999 at 22:25:56:
This question is best asked on the other board (cash flow).
I think 18% is a good interest rate, but $105,000 @18% for 30 years monthly payment is $1,582, and your gross rent is $1,255 = -$327 cashflow.
Even at 9% your monthly payment would be @$845 p&i. Add taxes, insurance and expenses, and you are above your $1255 income.
What I think this points out is either the FMV is lower than even $105,000 or the rents are below market.
How did you determine the FMV?
Sorry for the bad news, I could be wrong but from my experience and what I learned on this site, I don’t think I am. Is all the information posted correct?