– Numbers –
Purchase Price: $20,000
Est. Rent: $550
Yearly Taxes: $539
Monthly Income and Expenses
Est. Rent – $550/mo
Taxes – $45/mo
Insurance – $50/mo
Management Fee – $55/mo
Vacancy/Maintenance – $33/mo
Net Cash Flow = $367 x 12 (Months) = $4,404 Yearly Net Income
$20,000 (Purchase Price)+ $7,000 (Estimated Rehab) = $27,000 (All in)
$4,404 (Yearly Net Income) / $27,000(All in) = 15% COC