Posted by Antoine on September 23, 2003 at 06:54:08:
You need to take in account the amount that you will set aside for reserves each month and also monthly maintenances. With the current rent, you will be feeding the alligator.
Should I do this? - Posted by jason
Posted by jason on September 22, 2003 at 15:24:15:
I could use some opinions on this as I work on the numbers myself…
New 4 bdr townhome for $173,000
Annual Taxes are roughly $2400
Annual Insurance is $1050
With a 20% down payment of $34,600 and a loan on a 30 year fixed at 5.875%, my monthly payment would be just over $1,100.
I have found someone that will lease it for $1185 a month.
I have yet to learn about cash on cash return, NOI, IRR and many other important aspects of real estate which I admit. Though the first thing I see is a passive income of $80 bucks a month.
As I mentioned, I’m working on figuring out the other “yield elements” and investment analysis, but am just asking for a premliminary view.
Thank you.
jason
Re: Should I do this? - Posted by michaela-ATL
Posted by michaela-ATL on September 23, 2003 at 07:23:34:
Even if you could get into this without downpayment I would not suggest to do this, because there will be repairs, which would come out of your pocket.
Now, considering, that you’d put down 43K out of your pocket - forget it.
michaela