I am looking to buy a long-term rental property. My objective is to maximize cash-flow.
At this point I have a few figures, but I have no context to measure the numbers against:
For example - This property has a 46.58% Expense & Vacancy as a % of Gross Rental Income - which means that from a potential monthly rental income of $1100, I will get $587.62. Is that a good ratio, based on other investors?
Another one is at this point this house will get me a yearly return on investment of 8.78% (basically total cash in (down payment + repairs) by net cash flow). Is 8.78% a good number or not?
Should I consider equity appreciation since my goal is cash-flow? I don't really care about these numbers.
How do other investor measure their leads?