Creating Cash Flow

I would like to create cash flow every month with multifamily properties. I'm just getting started and would like to start with 4 plexes or more. What would you recommend?

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Dec 01, 2011
RE: Creating Cash Flow
by: Tom Karadza

The first thing to get familiar with is “cap rates” (capitalization rates) and what they are in different areas. Once you know the norms for the area you can quickly compare buildings against each other.

But there will always be variables like the condition of the building, location etc. that you’ll have to take into account.

Above all, find someone who has dealt with multi-units in the past so you can leverage their experience.


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