May 16, 2013

Investment Property Monthly Income

Our monthly expenses for the Investment Property would be $469.  This would include our mortgage payment, taxes, condo fees and insurance.

So if we were able to rent the unit for $800 a month, we would be bringing in $331 per month in income.  I think what I would want to do is set up a separate account and just let the money accumulate for a while for it to build a cushion for any repairs that we would need.

The more I research, the more I think that this is a really good investment.  But then I still have that nagging, what if?  What if we can't rent it?  What if right after we purchase it, both my husband and I would lose our jobs?  (Not that we are expecting that to happen, but its the worst case scenarios that keep running through my head.)


  1. Have you figured out how much of a cash cushion you have in case the house doesn't rent right away or needs repairs?

    I'd be inclined to go for it since expense to income ratio is higher than I've seen for a lot of starter rental properties.

    1. Since our expenses are so low we are able to cover it with our normal monthly income. If it doesn't rent within the first couple of months we will probably postpone our January vacation and have to cut back on other unnecessary expenses but we'll be able to make due.