I must say, I am into property investment and it might not be a flex but i have gotten from $50k last year to $127k till date and i did it with little to no knowledge of it
Indy was a hot market in the last decade. but its now filled with lot of investors. still a good tier 2 city with diverse economy.no longer a growing city, but still has some gentrifying neighborhoods, and much harder to find deals.
Not sure David, current interest rates would be 7% and above , also I’d account for 10% maintenance and repair . I understand if you put some rehab work, then you can bring that down a bit like in your case. This neighborhood mostly looks C , so more vacancy? Rents I heard are softening, so don’t think 1650$ is achievable. Anyways good analysis.
@@joshuakrilov4042 yeah. I meant for the best case scenario, he used 1650$ still seemed a bit high. but its hypothetical anyway, nothing wrong to get a peek on the numbers, but just felt its not realistic.
In addition it's 10% for property management there and property taxes seems incorrect since to low. I don't think you will cash flow on this property at all.
I like BP but this video is BS. To begin with, this property is from 1910, so maintenance will be so much higher than estimated. Interest rate for investment property is NOT the same as interest rates for a home where you live as primary residency. Should be closer to 7.25% today. Lastly, the property tax there is WAY off. Property tax for RE investments in Indianapolis are closer to 2% of the property price. The previous tenant must have had some prop tax deductions that will likely not continue once the property title moves to another owner (investor). Instead of 400 bucks, try putting 3k. This will never cash flow.
love how you explain the analysis step by step! make more of them please
I must say, I am into property investment and it might not be a flex but i have gotten from $50k last year to $127k till date and i did it with little to no knowledge of it
How did you start?
Thanks for breaking down the steps so clearly!
Thank you, very practical and helpful information!
How do you analyze the area first though? I Googled US News top 25 fastest growing cities and Indy wasn't on the list.
That’s because it’s not in the top 25. Any growth at all with still having cash flow potential is a good thing.
Indy was a hot market in the last decade. but its now filled with lot of investors. still a good tier 2 city with diverse economy.no longer a growing city, but still has some gentrifying neighborhoods, and
much harder to find deals.
He has a video on market analysis you just have to search his videos
I have BP pro and have never seen that tool. Usually sends me to invelo and asks for my email.
Not sure David, current interest rates would be 7% and above , also I’d account for 10% maintenance and repair .
I understand if you put some rehab work, then you can bring that down a bit like in your case.
This neighborhood mostly looks C , so more vacancy? Rents I heard are softening, so don’t think 1650$ is achievable.
Anyways good analysis.
He used $1450 for rent, right?
@@joshuakrilov4042 yeah. I meant for the best case scenario, he used 1650$ still seemed a bit high. but its hypothetical anyway, nothing wrong to get a peek on the numbers, but just felt its not realistic.
In addition it's 10% for property management there and property taxes seems incorrect since to low. I don't think you will cash flow on this property at all.
This "deal" sucks and has only dry assumptions.
Sir, thank you for tutorial on software.
Can you do this for Albany, NY and Troy, NY?
Can you do it by city, state? Like Tampa, Florida?
Do this analysis in Mexico City
Learn to ask😂
I like BP but this video is BS. To begin with, this property is from 1910, so maintenance will be so much higher than estimated.
Interest rate for investment property is NOT the same as interest rates for a home where you live as primary residency. Should be closer to 7.25% today.
Lastly, the property tax there is WAY off. Property tax for RE investments in Indianapolis are closer to 2% of the property price. The previous tenant must have had some prop tax deductions that will likely not continue once the property title moves to another owner (investor). Instead of 400 bucks, try putting 3k. This will never cash flow.
Do California tho
Thats the real test
lol the cashflow test would pass, only if you buy that property all cash in a market like California. not ideally apples to apples comparison