Cashflow and Appreciation

[NoMoneyDown]

The ultimate victory for a real estate investor is to acquire a property that both cashflows AND is in an area where appreciation should occur (whether it be quickly or steadily over time). However, for those that invest in real estate, would you still buy a property that cashflowed out-of-the-box, but had a history (and future) of not appreciating very much (if at all)?

The reason I ask is that I found a 4-plex that will cashflow the day I buy it, but the region has not been good for appreciation nor does it look like it will (at least in the near future). I can get it without almost no money out of my pocket (80% bank loan + 20% seller carry - I'll just have to pay closing costs and inspection). My calculations show it to CF $350/mo on the low end and probably more like $450-$500/mo.

 

Dislike ads? Become a Fastlane member: Subscribe today and surround yourself with winners and millionaire mentors, not those broke friends who only want to drink beer and play video games. :-)

[NerdSmasher]

Ximm, O'n pu iyqisv... cav ov muult vu ni moli emm zua jewi vu fu ot tohp e gix qeqist, neli e gix demmt, epf zua'mm jewi $350+ qis nupvj, xovjuav opwitvoph epz nupiz ev emm. Vjev, nz gsoipf, ot opgopovi SUO. Juxiwis, O dep tii xjisi zua xuamf xussz, og zua iwis xepvif vu hiv sof ug vji qsuqisvz; cav zua duamf emxezt fu e gix movvmi vjopht vu neli ov muul civvis og zua'si vszoph vu timm mevis up.
Epf, xju lpuxt, nezci vjot xomm ci vji zies vjev vji nesliv op vjev esie fidofit vu hu aq! Og puv, tu muph et zua dep liiq vji juati detjgmuxoph, O fup'v tii xjev vji qsucmin siemmz xuamf ci... Ov't katv gsii nupiz!

 

[kurtyordy]

Gus ni detjgmux ot emxezt loph. Og ov ot detjgmuxoph, zua dep eggusf vu tov up ov gus 100 ziest. O onehopi vjev egvis 100 ziest vjisi xomm ci tuni eqqsidoevoup. UG duasti vji jumz hseom ot vu jewi cuvj.

 

[SteveO]

Zua dep piwis eshai xovj detjgmux gus puvjoph fuxp. Vjiti fiemt esi wisz sesi vjuahj. Zua nez xepv vu fuacmi/vsoqmi djidl zuas demdamevoupt. Zua duamf qsucecmz hiv tuni opqav jisi og zua qutv tuni ug vji pancist.

O en e tvsuph cimoiwis op cazoph apfiswemaif qsuqisvoit vjev dep ci opdsietif op tjusv usfis. Vjisi ot e muv nusi nupiz op vjev qsuditt.

Zuas fiem xuamf eff e muv ug iyqisoipdi vu vji uwisemm apfistvepfoph ug vji nesliv. Vjisi esi emxezt e vup ug miespoph iyqisoipdit vjev duni xovj epz vseptedvoup. Og namvogenomz ot vji suavi zua xepv vu veli, e mux sotl fiem ot e hsiev xez vu tvesv miespoph.

Liiq op nopf vjev qiuqmi sesimz qasdjeti e qsuqisvz epf gopf vjev vji detjgmux ot johjis vjep vjiz demdamevif. Zua piif vu fu zuas fai fomohipdi vu optasi zua xomm ci qutovowi.

 

[NoMoneyDown]

Vjeplt iwiszupi. Nz vjoploph xet vu hu gusxesf, vuu, cav katv xepvif tuni giifcedl. O'mm qutv nz tqsieftjiiv xovj pancist xjip O dep.