If you can buy and fix something for $50K that will rent for $1500/month, I'll hire you TODAY!!!
Truth is, if it can rent for $1500/month, then it's ARV is gonna be at least $150K. Plus, I'd guess a minimum of $50K in rehab costs. Of course, that's still $50K in equity. With $50K in equity, I can be pretty flexible in what I can do with the property, and doing it my way, I'd still have my $100K in my pocket.
Raj
Actually, I found a 7 unit complex in another state that had an asking price of 50,000 that rented supposedly cash flowed for 1500, it included property management that was already entacted (owner of hair salon was property manager - pay was free rent), and the property also offered another commerical unit - currently a laundrymat - owner owns it and has property manager care for it.
but
it's in a dead area of country, and i mean dead - what do you think raj?
i expanded on seller's positive cash flow advertisement and came up with under $300 - which he told me was inaccurate.
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