When it comes to making your money work for you, don’t just go out and buy something — learn ways to make your money buy it for you. Figure out what the best use of your capital to maximize your funds.
For instances, if you’re looking at purchasing a new car costing $40,000, your payment will be about $450.00 to $500.00 per month. Instead of purchasing that new car, let’s see what happens if you first buy an income producing property. Looking for a deal on rentable property you find a SFH that you can purchase for $100,000 and can be rented for $ 1,100 per month. Utilizing a $20,000 down payment and a mortgage of $80,000 which equates to a monthly mortgage payment of $340 per month based on today’s interest rates. Adding an estimated monthly allowance for taxes, insurance, and other variables for this property of $300 per month to your mortgage payment, gives you a positive cash flow of $460.00 per month, based on the above figures.
Not only have you have found the money every month to pay for your car; you now have a property that will continue to give you revenue and valuable tax benefits. In essence, your tenants are buying you a car. Not a bad side hustle.
Wishing you great success in all you do! Book a complimentary consultation to get started on your real estate educational journey! https://introtorealestate.com/book-a-complimentary-consult…/