[quote=SD Realtor]Hi Saiine. What I meant that the numbers were not right was that I didn’t know that you had all those items I mentioned factored in.
So roughly you have
Mortgage payment + HOA + estimate for annual repairs + cost of vacancy + property tax + HOA
MINUS
Rental Income
to get your cash flow.
So if your numbers included all of those items then they are okay, I am not sure if they did or not. Now I also said roughly because those are the items that just came to mind, I may have missed one or two.
Now this is only with reference to cash flow. On the flip side the benefits are depreciation and you can expense other things that you could not when the home was owner occupied.[/quote]
Ah ok.
My calculations were HOA, Taxes, Insurance. I had neglected upkeep though. One number I do not feel confident about yet is the amount I would receive back from the gov. I claim 0 as of now and can imagine if I can write off 22k or so I would receive a return of 3-4k. I’m also not sure if it’s a mistake to factoring that in when it comes to cash flow.
I started to also factor in an avg of .5% appreciation YoY for 5 years but ended up not following through on that, as we REALLY have no idea what’s going to happen and I don’t think I should rely on any assumptions at this point.
