Re: purchasing a rental property
10-16-2012 09:12 AM
Your planning sounds very effective but you have to consider some points before the move. This strategy includes, income from the rental property (rent=800) from the very first month, but the real scenario is, there is no guarantee that you will get a tenant on time which pays all the bills on time. Considering the points, are you ready to bear the risk of paying the mortgage or bills from your core income. Think about it!
Agree that the OP needs to consider payment of the mortgage, (if there is one) with funds from regular payroll income. As a property manager and owner of two rental units, I know first hand that It does happen. In one case I held the propery vacant for 15 days (with a sizeable holding deposit and signed holding deposit agreement)
to accomodate the needs of the prospective tenants.
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