Although a lot of people have experience investing and managing properties a lot of investors do not know the art of calculating apositive cash flow for financing purposes. IN order to purchase and continuing to purchase investment property a positive cash flow is vital. If you are not purchasing properties with a positive cashflow ( According to banks ) your DTI will ultimately increase until financing investment property is no longer an option. The formula is simple. Take gross rents minus occupancy rate ( 25% in NY ) minus mortgage payment , taxes, and insurance. If you still have a positive number you have ultimately washed your debt and can continue purchasing property without the stink eye from the bank !!!! Happy Buying
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