– Numbers –
Purchase Price: $42,000
Est. Rent: $850/mo
Taxes: $1,378
– Monthly Income & Expenses –
Est. Rent – $850/mo
Taxes – $115/mo
Insurance – $50/mo
Management Fee – $85/mo
Vacancy / Maintenance – $60/mo
Net Cash Flow = $540 x 12 (Months) = $6,480 Yearly Net Income
$5,000 (Estimated Rehab) + $42,000 (Purchase Price) = $50,000 (All in)
$6,480 (Yearly Net Income) / $47,000 (All in) = 14% COC Return
