real estate

[okaythen]

thinking about investing in some houses but it's far from my state , I would have to pay 10% of the rent and let apt management take care of the house for me....I want to know how many houses or what kind of rent or % I need to make to make it at least even...thanks

I know this isn't the exact right forum...can someone direct me to the right forum? thanks

[Vapors]

10% management fee is sort of high. I pay 7% for a management company to take care of my out of state rental. Do they also do the yard work for you or something? You will also need to pay insurance and property taxes. You will have to pay for repairs quite often. How often do you have to fix things at your own house? If you have a high tenant turnover, you have a lot of extra expenses with carpet cleaning, painting, repairs etc. And if it sits empty a month, your yearly gain can be gone. So I would check the rental market in that area before hand to see how much is already on the market.

You will need to run the numbers yourself to see if it's feasible or not. With the housing market stalled, you can't count on big gains in market value to offset yearly losses.