Fundswell Consulting Group LLC

When analyzing real estate investments, one of the most important metrics to consider is the Capitalization Rate (𝗖𝗮𝗽 𝗥𝗮𝘁𝗲). 𝘉𝘶𝘵 𝘸𝘩𝘢𝘵 𝘥𝘰𝘦𝘴 𝘪𝘵 𝘳𝘦𝘢𝘭𝘭𝘺 𝘵𝘦𝘭𝘭 𝘺𝘰𝘶, 𝘢𝘯𝘥 𝘩𝘰𝘸 𝘤𝘢𝘯 𝘺𝘰𝘶 𝘶𝘴𝘦 𝘪𝘵 𝘵𝘰 𝘮𝘢𝘬𝘦 𝘴𝘮𝘢𝘳𝘵𝘦𝘳 𝘪𝘯𝘷𝘦𝘴𝘵𝘮𝘦𝘯𝘵 𝘥𝘦𝘤𝘪𝘴𝘪𝘰𝘯𝘴? 🔹 𝗪𝗵𝗮𝘁 𝗜𝘀 𝗮 𝗖𝗮𝗽 𝗥𝗮𝘁𝗲? The Cap Rate measures a property's potential return based on its net operating income (NOI) and purchase price. It’s a simple way to compare different investments and assess risk. 📌 𝗙𝗼𝗿𝗺𝘂𝗹𝗮: Cap Rate (%) = (Net Operating Income ÷ Property Value) × 100 🔹 𝗘𝘅𝗮𝗺𝗽𝗹𝗲: A property generates $50,000 in NOI per year and costs $500,000. 📍 Cap Rate = (50,000 ÷ 500,000) × 100 = 10% 🔹 𝗪𝗵𝗲𝗻 𝘁𝗼 𝗨𝘀𝗲 𝗖𝗮𝗽 𝗥𝗮𝘁𝗲𝘀 ✔ 𝗖𝗼𝗺𝗽𝗮𝗿𝗶𝗻𝗴 𝗜𝗻𝘃𝗲𝘀𝘁𝗺𝗲𝗻𝘁 𝗣𝗿𝗼𝗽𝗲𝗿𝘁𝗶𝗲𝘀 – Helps assess potential returns before purchasing. ✔ 𝗠𝗮𝗿𝗸𝗲𝘁 𝗔𝗻𝗮𝗹𝘆𝘀𝗶𝘀 – Indicates if a market is undervalued or overvalued. ✔ 𝗥𝗶𝘀𝗸 𝗔𝘀𝘀𝗲𝘀𝘀𝗺𝗲𝗻𝘁 – Aids in choosing between high-risk, high-reward or stable, long-term investments. #RealEstateInvesting #CapRate #PassiveIncome #FundswellConsulting #WealthBuilding #InvestmentAnalysis

Investing in rental properties can be 𝗮 𝗴𝗿𝗲𝗮𝘁 𝘄𝗮𝘆 𝘁𝗼 𝗯𝘂𝗶𝗹𝗱 𝘄𝗲𝗮𝗹𝘁𝗵, but buying the wrong property 𝗰𝗮𝗻 𝗹𝗲𝗮𝗱 𝘁𝗼 𝗰𝗼𝘀𝘁𝗹𝘆 𝗺𝗶𝘀𝘁𝗮𝗸𝗲𝘀. Before making a decision, ask yourself these 5 key questions: 1️⃣ 𝗜𝘀 𝗧𝗵𝗶𝘀 𝗮 𝗚𝗼𝗼𝗱 𝗟𝗼𝗰𝗮𝘁𝗶𝗼𝗻 𝗳𝗼𝗿 𝗥𝗲𝗻𝘁𝗮𝗹𝘀? ✅ Strong job market and population growth ✅ Low vacancy rates in the area ✅ Close to schools, transportation, and amenities 2️⃣ 𝗪𝗵𝗮𝘁 𝗔𝗿𝗲 𝘁𝗵𝗲 𝗥𝗲𝗮𝗹 𝗖𝗼𝘀𝘁𝘀? ✅ Mortgage, taxes, insurance, and maintenance ✅ Property management fees (if applicable) ✅ Potential vacancy periods 3️⃣ 𝗪𝗵𝗮𝘁’𝘀 𝘁𝗵𝗲 𝗘𝘅𝗽𝗲𝗰𝘁𝗲𝗱 𝗖𝗮𝘀𝗵 𝗙𝗹𝗼𝘄? ✅ Monthly rental income – (Mortgage + Expenses) = Cash Flow ✅ Positive cash flow means your property pays for itself and generates profit. 4️⃣ 𝗪𝗵𝗮𝘁 𝗙𝗶𝗻𝗮𝗻𝗰𝗶𝗻𝗴 𝗢𝗽𝘁𝗶𝗼𝗻𝘀 𝗔𝗿𝗲 𝗔𝘃𝗮𝗶𝗹𝗮𝗯𝗹𝗲? ✅ Traditional mortgage vs. DSCR loans ✅ Seller financing or private lenders ✅ Interest rates and loan terms 5️⃣ 𝗪𝗵𝗼 𝗪𝗶𝗹𝗹 𝗠𝗮𝗻𝗮𝗴𝗲 𝘁𝗵𝗲 𝗣𝗿𝗼𝗽𝗲𝗿𝘁𝘆? ✅ Will you self-manage or hire a property manager? ✅ How will you handle tenant issues and maintenance? ✅ Do you have an emergency fund for repairs? 💬 𝙒𝙝𝙖𝙩’𝙨 𝙩𝙝𝙚 𝙗𝙞𝙜𝙜𝙚𝙨𝙩 𝙘𝙝𝙖𝙡𝙡𝙚𝙣𝙜𝙚 𝙮𝙤𝙪 𝙛𝙖𝙘𝙚𝙙 𝙬𝙝𝙚𝙣 𝙗𝙪𝙮𝙞𝙣𝙜 𝙮𝙤𝙪𝙧 𝙛𝙞𝙧𝙨𝙩 𝙧𝙚𝙣𝙩𝙖𝙡 𝙥𝙧𝙤𝙥𝙚𝙧𝙩𝙮? Let us know in the comments! 👇 #RealEstateInvesting #RentalProperties #PassiveIncome #FundswellConsulting #WealthBuilding #SmartInvesting

Your credit score isn’t just a number—it’s a key factor in determining whether you qualify for a real estate loan and what terms you’ll get. A strong credit score can mean lower interest rates, better loan options, and higher borrowing power. 🔹 𝗪𝗵𝗮𝘁 𝗖𝗿𝗲𝗱𝗶𝘁 𝗦𝗰𝗼𝗿𝗲 𝗗𝗼 𝗬𝗼𝘂 𝗡𝗲𝗲𝗱? 📌 760+ – Best rates & easiest approvals 📌 700-759 – Competitive rates 📌 620-699 – Standard loan options available 📌 Below 620? – Alternative financing (FHA, DSCR, private lenders) may be needed 💡 𝗛𝗼𝘄 𝘁𝗼 𝗜𝗺𝗽𝗿𝗼𝘃𝗲 𝗬𝗼𝘂𝗿 𝗖𝗿𝗲𝗱𝗶𝘁 𝗦𝗰𝗼𝗿𝗲 𝗳𝗼𝗿 𝗥𝗲𝗮𝗹 𝗘𝘀𝘁𝗮𝘁𝗲 𝗟𝗼𝗮𝗻𝘀 ✔ 𝗣𝗮𝘆 𝗯𝗶𝗹𝗹𝘀 𝗼𝗻 𝘁𝗶𝗺𝗲 – Late payments hurt your score. ✔ 𝗥𝗲𝗱𝘂𝗰𝗲 𝗰𝗿𝗲𝗱𝗶𝘁 𝘂𝘁𝗶𝗹𝗶𝘇𝗮𝘁𝗶𝗼𝗻 – Keep balances under 30% of your credit limit. ✔ 𝗔𝘃𝗼𝗶𝗱 𝗻𝗲𝘄 𝗱𝗲𝗯𝘁 – New credit inquiries can lower your score. ✔ 𝗖𝗵𝗲𝗰𝗸 𝗳𝗼𝗿 𝗲𝗿𝗿𝗼𝗿𝘀 – Dispute any inaccuracies on your credit report. 💬 𝗪𝗵𝗮𝘁 𝗳𝗶𝗻𝗮𝗻𝗰𝗶𝗻𝗴 𝗰𝗵𝗮𝗹𝗹𝗲𝗻𝗴𝗲𝘀 𝗵𝗮𝘃𝗲 𝘆𝗼𝘂 𝗳𝗮𝗰𝗲𝗱 𝗱𝘂𝗲 𝘁𝗼 𝗰𝗿𝗲𝗱𝗶𝘁 𝘀𝗰𝗼𝗿𝗲𝘀? Drop your thoughts in the comments! 👇 #RealEstateInvesting #CreditScore #MortgageApproval #FundswellConsulting #WealthBuilding #SmartFinancing

𝗙𝗹𝗶𝗽𝗽𝗶𝗻𝗴 𝗵𝗼𝘂𝘀𝗲𝘀 can be 𝗵𝗶𝗴𝗵𝗹𝘆 𝗽𝗿𝗼𝗳𝗶𝘁𝗮𝗯𝗹𝗲, but the wrong renovation decisions can cut into your margins or even lead to losses. 𝗔𝘃𝗼𝗶𝗱 𝘁𝗵𝗲𝘀𝗲 𝟱 𝗰𝗼𝘀𝘁𝗹𝘆 𝗺𝗶𝘀𝘁𝗮𝗸𝗲𝘀 when working on your next flip! 🚨 𝟭. 𝗢𝘃𝗲𝗿-𝗥𝗲𝗻𝗼𝘃𝗮𝘁𝗶𝗻𝗴 𝗳𝗼𝗿 𝘁𝗵𝗲 𝗡𝗲𝗶𝗴𝗵𝗯𝗼𝗿𝗵𝗼𝗼𝗱 ✅ Know your market! Upgrading a home beyond what buyers expect in the area won’t always increase value. 𝗞𝗲𝗲𝗽 𝗿𝗲𝗻𝗼𝘃𝗮𝘁𝗶𝗼𝗻𝘀 𝗮𝗹𝗶𝗴𝗻𝗲𝗱 𝘄𝗶𝘁𝗵 𝗰𝗼𝗺𝗽𝗮𝗿𝗮𝗯𝗹𝗲 𝗽𝗿𝗼𝗽𝗲𝗿𝘁𝗶𝗲𝘀 (𝗰𝗼𝗺𝗽𝘀) 𝘁𝗼 𝗺𝗮𝘅𝗶𝗺𝗶𝘇𝗲 𝗥𝗢𝗜. 🚨 𝟮. 𝗜𝗴𝗻𝗼𝗿𝗶𝗻𝗴 𝘁𝗵𝗲 𝗕𝘂𝗱𝗴𝗲𝘁 & 𝗧𝗶𝗺𝗲𝗹𝗶𝗻𝗲 ✅ Unexpected costs happen, 𝗯𝘂𝘁 𝗳𝗮𝗶𝗹𝗶𝗻𝗴 𝘁𝗼 𝘀𝗲𝘁 𝗮 𝗿𝗲𝗮𝗹𝗶𝘀𝘁𝗶𝗰 𝗯𝘂𝗱𝗴𝗲𝘁 𝗮𝗻𝗱 𝘁𝗶𝗺𝗲𝗹𝗶𝗻𝗲 𝗰𝗮𝗻 𝗲𝗮𝘁 𝗶𝗻𝘁𝗼 𝗽𝗿𝗼𝗳𝗶𝘁𝘀. Always factor in permits, contractor delays, and material price changes. 🚨 𝟯. 𝗖𝗵𝗼𝗼𝘀𝗶𝗻𝗴 𝘁𝗵𝗲 𝗪𝗿𝗼𝗻𝗴 𝗟𝗮𝘆𝗼𝘂𝘁 𝗼𝗿 𝗗𝗲𝘀𝗶𝗴𝗻 ✅ Functionality matters! Removing too many walls, shrinking bedrooms, or adding awkward layouts can turn off buyers. 𝗞𝗲𝗲𝗽 𝗱𝗲𝘀𝗶𝗴𝗻 𝗱𝗲𝗰𝗶𝘀𝗶𝗼𝗻𝘀 𝗽𝗿𝗮𝗰𝘁𝗶𝗰𝗮𝗹 𝗮𝗻𝗱 𝗶𝗻 𝗱𝗲𝗺𝗮𝗻𝗱. 🚨 𝟰. 𝗖𝘂𝘁𝘁𝗶𝗻𝗴 𝗖𝗼𝗿𝗻𝗲𝗿𝘀 𝗼𝗻 𝗠𝗮𝗷𝗼𝗿 𝗥𝗲𝗽𝗮𝗶𝗿𝘀 ✅ Buyers notice cheap fixes—ignoring foundation issues, outdated plumbing, or an aging roof can lead to failed inspections and deal-breaker negotiations. 𝗔𝗱𝗱𝗿𝗲𝘀𝘀 𝘁𝗵𝗲 𝗲𝘀𝘀𝗲𝗻𝘁𝗶𝗮𝗹𝘀 𝗳𝗶𝗿𝘀𝘁! 🚨 𝟱. 𝗡𝗼𝘁 𝗨𝗻𝗱𝗲𝗿𝘀𝘁𝗮𝗻𝗱𝗶𝗻𝗴 𝗕𝘂𝘆𝗲𝗿 𝗣𝗿𝗲𝗳𝗲𝗿𝗲𝗻𝗰𝗲𝘀 ✅ 𝗬𝗼𝘂𝗿 𝗽𝗲𝗿𝘀𝗼𝗻𝗮𝗹 𝘀𝘁𝘆𝗹𝗲 𝗱𝗼𝗲𝘀𝗻’𝘁 𝗺𝗮𝘁𝘁𝗲𝗿—t𝗵𝗲 𝗺𝗮𝗿𝗸𝗲𝘁 𝗱𝗼𝗲𝘀. Overly unique finishes or extreme color choices can limit your buyer pool. Stick to neutral tones and modern, widely appealing updates. 🏆 Pro Tip: Smart Renovations = Bigger Profits 🔹 Research comps to see what sells best in your area. 🔹 Prioritize high-ROI updates (kitchen, bathrooms, flooring). 🔹 Work with experienced contractors to avoid costly mistakes. Flipping is all about smart spending and strategic upgrades—not overbuilding! 💬 Have you seen a flip go wrong due to these mistakes? Share your thoughts below! 👇 #FixAndFlip #HouseFlipping #RealEstateInvesting #FundswellConsulting #InvestmentStrategy #SmartRenovations

𝗥𝗲𝗮𝗹 𝗲𝘀𝘁𝗮𝘁𝗲 𝘃𝗮𝗹𝘂𝗲𝘀 don’t rise by chance—market trends play a crucial role in property appreciation. Whether you're investing or buying a home, understanding these trends can help you make 𝘀𝗺𝗮𝗿𝘁𝗲𝗿 𝗱𝗲𝗰𝗶𝘀𝗶𝗼𝗻𝘀. ✅ 𝗦𝘂𝗽𝗽𝗹𝘆 & 𝗗𝗲𝗺𝗮𝗻𝗱 📊 When housing demand is high but supply is low, property values increase. A buyer’s market (high supply, low demand) can slow appreciation. ✅ 𝗜𝗻𝘁𝗲𝗿𝗲𝘀𝘁 𝗥𝗮𝘁𝗲𝘀 💰 Lower mortgage rates make homes more affordable, increasing demand and prices. Higher interest rates can slow appreciation by reducing buyer affordability. ✅ 𝗘𝗰𝗼𝗻𝗼𝗺𝗶𝗰 𝗚𝗿𝗼𝘄𝘁𝗵 & 𝗝𝗼𝗯 𝗠𝗮𝗿𝗸𝗲𝘁 💼 Cities with strong job growth and new business opportunities attract buyers and investors, boosting property values. ✅ 𝗜𝗻𝗳𝗹𝗮𝘁𝗶𝗼𝗻 & 𝗖𝗼𝗻𝘀𝘁𝗿𝘂𝗰𝘁𝗶𝗼𝗻 𝗖𝗼𝘀𝘁𝘀 🏗️ Inflation raises home prices as labor and material costs increase. Higher costs for new builds can push buyers toward existing homes, driving up their value. ✅ 𝗡𝗲𝗶𝗴𝗵𝗯𝗼𝗿𝗵𝗼𝗼𝗱 𝗗𝗲𝘃𝗲𝗹𝗼𝗽𝗺𝗲𝗻𝘁 & 𝗜𝗻𝗳𝗿𝗮𝘀𝘁𝗿𝘂𝗰𝘁𝘂𝗿𝗲 🚧 New schools, highways, and public transit increase desirability, leading to long-term appreciation. Gentrification and commercial growth can transform neighborhoods and raise home values. 📉 𝗪𝗵𝗮𝘁 𝗛𝗮𝗽𝗽𝗲𝗻𝘀 𝗪𝗵𝗲𝗻 𝗧𝗿𝗲𝗻𝗱𝘀 𝗦𝗵𝗶𝗳𝘁? 🔹 𝗥𝗶𝘀𝗶𝗻𝗴 𝗶𝗻𝘁𝗲𝗿𝗲𝘀𝘁 𝗿𝗮𝘁𝗲𝘀? Buyers may wait, slowing appreciation. 🔹 𝗘𝗰𝗼𝗻𝗼𝗺𝗶𝗰 𝗱𝗼𝘄𝗻𝘁𝘂𝗿𝗻? Job losses can decrease demand. 🔹 𝗢𝘃𝗲𝗿𝗯𝘂𝗶𝗹𝗱𝗶𝗻𝗴? Too much inventory can flatten or reduce prices. Successful investors analyze market trends to buy at the right time and maximize appreciation. #RealEstateMarket #MarketTrends #PropertyAppreciation #FundswellConsulting #InvestmentStrategy #WealthBuilding

Imagine living in your home 𝘄𝗶𝘁𝗵𝗼𝘂𝘁 𝗽𝗮𝘆𝗶𝗻𝗴 𝗮 𝗺𝗼𝗿𝘁𝗴𝗮𝗴𝗲—or even making a profit from it. That’s the power of house hacking! 🔹 𝗛𝗼𝘄 𝗛𝗼𝘂𝘀𝗲 𝗛𝗮𝗰𝗸𝗶𝗻𝗴 𝗦𝗮𝘃𝗲𝘀 𝗬𝗼𝘂 𝗠𝗼𝗻𝗲𝘆 1️⃣ 𝗖𝗼𝘃𝗲𝗿𝘀 𝗬𝗼𝘂𝗿 𝗛𝗼𝘂𝘀𝗶𝗻𝗴 𝗖𝗼𝘀𝘁𝘀 – Rent payments from tenants reduce or eliminate your mortgage payment. 2️⃣ 𝗕𝘂𝗶𝗹𝗱𝘀 𝗘𝗾𝘂𝗶𝘁𝘆 𝗙𝗮𝘀𝘁𝗲𝗿 – Instead of paying rent, you invest in a property that appreciates in value. 3️⃣ 𝗟𝗼𝘄𝗲𝗿𝘀 𝗟𝗶𝘃𝗶𝗻𝗴 𝗘𝘅𝗽𝗲𝗻𝘀𝗲𝘀 – Extra rental income can help pay for utilities, maintenance, or even additional investments. 4️⃣ 𝗤𝘂𝗮𝗹𝗶𝗳𝗶𝗲𝘀 𝗳𝗼𝗿 𝗕𝗲𝘁𝘁𝗲𝗿 𝗟𝗼𝗮𝗻𝘀 – Since you live in the property, you may qualify for low down payment options like FHA loans (3.5% down). 5️⃣ 𝗝𝘂𝗺𝗽𝘀𝘁𝗮𝗿𝘁𝘀 𝗬𝗼𝘂𝗿 𝗜𝗻𝘃𝗲𝘀𝘁𝗺𝗲𝗻𝘁 𝗣𝗼𝗿𝘁𝗳𝗼𝗹𝗶𝗼 – House hacking is a great first step to becoming a real estate investor. 🔹 𝗥𝗲𝗮𝗹-𝗟𝗶𝗳𝗲 𝗘𝘅𝗮𝗺𝗽𝗹𝗲 📌 John buys a triplex for $300,000 with a low down payment loan. 📌 He lives in one unit and rents out the other two for $1,200 each. 📌 His total mortgage payment is $2,000/month. 📌 After rental income, John only pays $400/month out of pocket—way less than renting! Over time, John builds equity, reinvests in more properties, and scales his portfolio—all while paying little to no mortgage! #HouseHacking #RealEstateInvesting #PassiveIncome #FundswellConsulting #WealthBuilding #LiveMortgageFree

Many investors dream of achieving 𝗳𝗶𝗻𝗮𝗻𝗰𝗶𝗮𝗹 𝗳𝗿𝗲𝗲𝗱𝗼𝗺 through 𝗿𝗲𝗮𝗹 𝗲𝘀𝘁𝗮𝘁𝗲, but how do they actually do it? Let’s take a look at how one investor built a steady stream of passive income using rental properties. 📌 𝗧𝗵𝗲 𝗦𝘁𝗮𝗿𝘁𝗶𝗻𝗴 𝗣𝗼𝗶𝗻𝘁 Meet Alex, an investor who started with limited capital but had a clear goal: to generate passive income through rental properties. 🔹 𝗦𝘁𝗲𝗽 𝟭: 𝗕𝘂𝘆𝗶𝗻𝗴 𝘁𝗵𝗲 𝗙𝗶𝗿𝘀𝘁 𝗣𝗿𝗼𝗽𝗲𝗿𝘁𝘆 Alex purchased a small duplex in an up-and-coming neighborhood using: ✅ A low down payment loan ✅ Seller financing to reduce upfront costs ✅ Rental market research to ensure strong demand After 𝘀𝗼𝗺𝗲 𝗹𝗶𝗴𝗵𝘁 𝗿𝗲𝗻𝗼𝘃𝗮𝘁𝗶𝗼𝗻𝘀, the property was 𝗿𝗲𝗻𝘁𝗲𝗱 𝗼𝘂𝘁, covering the mortgage and generating 𝗽𝗼𝘀𝗶𝘁𝗶𝘃𝗲 𝗰𝗮𝘀𝗵 𝗳𝗹𝗼𝘄. 🔹 𝗦𝘁𝗲𝗽 𝟮: 𝗦𝗰𝗮𝗹𝗶𝗻𝗴 𝘄𝗶𝘁𝗵 𝗢𝗣𝗠 (𝗢𝘁𝗵𝗲𝗿 𝗣𝗲𝗼𝗽𝗹𝗲’𝘀 𝗠𝗼𝗻𝗲𝘆) & 𝗗𝗦𝗖𝗥 𝗟𝗼𝗮𝗻𝘀 Instead of saving for years, Alex used cash-out refinancing and DSCR loans (Debt Service Coverage Ratio loans) to acquire more rental properties without relying on personal income. 𝗧𝗵𝗶𝘀 𝘀𝘁𝗿𝗮𝘁𝗲𝗴𝘆 𝗮𝗹𝗹𝗼𝘄𝗲𝗱 𝗔𝗹𝗲𝘅 𝘁𝗼: ✔ Leverage the equity from existing properties ✔ Qualify for loans based on rental income ✔ Expand the portfolio faster 🔹 𝗦𝘁𝗲𝗽 𝟯: 𝗢𝗽𝘁𝗶𝗺𝗶𝘇𝗶𝗻𝗴 𝗖𝗮𝘀𝗵 𝗙𝗹𝗼𝘄 & 𝗣𝗿𝗼𝗽𝗲𝗿𝘁𝘆 𝗠𝗮𝗻𝗮𝗴𝗲𝗺𝗲𝗻𝘁 𝗧𝗼 𝗺𝗮𝘅𝗶𝗺𝗶𝘇𝗲 𝗽𝗿𝗼𝗳𝗶𝘁𝘀, 𝗔𝗹𝗲𝘅: 🔹 Hired a property management team to handle tenants and maintenance 🔹 Focused on cash-flowing markets with strong rental demand 🔹 Used tax advantages like depreciation to reduce taxable income 📈 𝗧𝗵𝗲 𝗥𝗲𝘀𝘂𝗹𝘁𝘀 ✅ In 5 years, Alex grew from 1 duplex to 10 rental properties ✅ Monthly passive income exceeded living expenses, achieving financial freedom ✅ With a self-sustaining portfolio, Alex can now focus on acquiring more properties or simply enjoying the cash flow 💬 Want to build your own passive income stream? Let’s talk! Drop your questions in the comments. 👇 #RealEstateInvesting #PassiveIncome #CaseStudy #FundswellConsulting #WealthBuilding #RentalProperties

𝟭. 𝗖𝗮𝗹𝗰𝘂𝗹𝗮𝘁𝗲 𝗥𝗲𝗻𝘁𝗮𝗹 𝗜𝗻𝗰𝗼𝗺𝗲 💵 Start by estimating the monthly rental income the property will generate. Research comparable rents in the area to determine a competitive, realistic price for your property. 𝟮. 𝗙𝗮𝗰𝘁𝗼𝗿 𝗶𝗻 𝗢𝗽𝗲𝗿𝗮𝘁𝗶𝗻𝗴 𝗘𝘅𝗽𝗲𝗻𝘀𝗲𝘀 💰 Subtract the operating costs from the rental income to understand your potential cash flow. Key expenses to consider include: - Mortgage payments - Property taxes - Insurance - Maintenance and repairs - Property management fees - Utilities (if covered by the landlord) 𝟯. 𝗖𝗼𝗻𝘀𝗶𝗱𝗲𝗿 𝗩𝗮𝗰𝗮𝗻𝗰𝘆 𝗥𝗮𝘁𝗲 🏚️ Not every property will be rented out 100% of the time. Factor in an estimated vacancy rate (usually around 5%-10% of the year) to account for periods when the property is unoccupied. 𝟰. 𝗖𝗮𝗹𝗰𝘂𝗹𝗮𝘁𝗲 𝗗𝗲𝗯𝘁 𝗦𝗲𝗿𝘃𝗶𝗰𝗲 🏦 Debt service refers to the monthly mortgage payments (principal and interest). Make sure your rental income is enough to cover these payments, plus other operating costs. 𝟱. 𝗗𝗲𝘁𝗲𝗿𝗺𝗶𝗻𝗲 𝗡𝗲𝘁 𝗢𝗽𝗲𝗿𝗮𝘁𝗶𝗻𝗴 𝗜𝗻𝗰𝗼𝗺𝗲 (𝗡𝗢𝗜) 📊 Subtract operating expenses (excluding mortgage payments) from rental income to calculate Net Operating Income (NOI). This is a key indicator of profitability. 𝟲. 𝗘𝘃𝗮𝗹𝘂𝗮𝘁𝗲 𝗖𝗮𝘀𝗵 𝗙𝗹𝗼𝘄 📉💸 To find your cash flow, subtract the debt service (mortgage) from your NOI. If the result is positive, you have positive cash flow. If it's negative, the property may not generate enough income to cover its costs. 𝟳. 𝗣𝗲𝗿𝗳𝗼𝗿𝗺 𝘁𝗵𝗲 𝗖𝗮𝘀𝗵-𝗼𝗻-𝗖𝗮𝘀𝗵 𝗥𝗲𝘁𝘂𝗿𝗻 (𝗖𝗼𝗖) 𝗖𝗮𝗹𝗰𝘂𝗹𝗮𝘁𝗶𝗼𝗻 📈 This is the ratio of your annual pre-tax cash flow divided by the total cash you invested in the property. A higher CoC means a better return on your investment. 📢 𝗪𝗵𝗮𝘁 𝗱𝗼 𝘆𝗼𝘂 𝗰𝗼𝗻𝘀𝗶𝗱𝗲𝗿 𝘄𝗵𝗲𝗻 𝗮𝗻𝗮𝗹𝘆𝘇𝗶𝗻𝗴 𝗰𝗮𝘀𝗵 𝗳𝗹𝗼𝘄? Let us know in the comments below! 👇 #CashFlow #RealEstateInvesting #InvestmentTips #FundswellConsulting #PropertyAnalysis #WealthBuilding

𝟭. 𝗕𝘂𝘆 💵 Start by purchasing a property that needs some work—often a fixer-upper or distressed property at a below-market price. The goal is to buy underpriced properties with potential for improvement. 𝟮. 𝗥𝗲𝗵𝗮𝗯 🛠️undefined Once you’ve acquired the property, invest in rehabilitating it. This can include renovations like updating kitchens, bathrooms, and fixing structural issues to increase the property’s value and appeal to tenants. 𝟯. 𝗥𝗲𝗻𝘁 🏠 After the property is renovated, rent it out to tenants. This will generate steady cash flow and ensure the property starts paying for itself, covering your mortgage and other costs. 𝟰. 𝗥𝗲𝗳𝗶𝗻𝗮𝗻𝗰𝗲 💳 Once the property is rented and has increased in value due to the renovations, you can refinance the property with a cash-out refinance. This allows you to take out the equity you’ve built up through the rehab process. 𝟱. 𝗥𝗲𝗽𝗲𝗮𝘁 🔁 The funds you pull out from the refinance can then be used to purchase more properties, starting the process again. The key to the BRRRR strategy is using the profits from one property to fuel the purchase of others. 𝗛𝗮𝘃𝗲 𝘆𝗼𝘂 𝘁𝗿𝗶𝗲𝗱 𝘁𝗵𝗲 𝗕𝗥𝗥𝗥𝗥 𝘀𝘁𝗿𝗮𝘁𝗲𝗴𝘆? Share your experiences in the comments below! 👇 #BRRRRStrategy #RealEstateInvesting #WealthBuilding #FundswellConsulting #InvestmentTips #RealEstateTips

𝟭. 𝗙𝗶𝗻𝗮𝗻𝗰𝗶𝗻𝗴 𝗢𝗽𝘁𝗶𝗼𝗻𝘀 💵 There are multiple ways to finance real estate investments without having a large amount of cash upfront. You can leverage loans, DSCR loans, private lenders, or even use OPM (Other People’s Money) to fund your investment. 𝟮. 𝗦𝘁𝗮𝗿𝘁 𝗦𝗺𝗮𝗹𝗹 📈 You don’t need to buy a multi-million-dollar property to start investing. Consider starting with a single-family rental or a fix-and-flip project. Many successful investors started with smaller properties and scaled up over time. 𝟯. 𝗟𝗲𝘃𝗲𝗿𝗮𝗴𝗲 𝗘𝗾𝘂𝗶𝘁𝘆 💡 If you already own property, you can tap into your home equity or use a HELOC (Home Equity Line of Credit) to finance your next real estate deal. This allows you to use what you already have to grow your portfolio. 𝟰. 𝗣𝗮𝘀𝘀𝗶𝘃𝗲 𝗜𝗻𝗰𝗼𝗺𝗲 𝗢𝗽𝗽𝗼𝗿𝘁𝘂𝗻𝗶𝘁𝗶𝗲𝘀 💼 Real estate investing isn’t just about buying big properties. You can also consider real estate investment trusts (REITs) or crowdfunding platforms, which allow you to invest in real estate with much less capital and without the need for property management. 𝟱. 𝗟𝗼𝗻𝗴-𝗧𝗲𝗿𝗺 𝗪𝗲𝗮𝗹𝘁𝗵 𝗕𝘂𝗶𝗹𝗱𝗶𝗻𝗴 🏡💸 Real estate has been proven to be a consistent wealth builder over time, making it an excellent option for long-term financial growth. With strategic planning, anyone can get started. 🌟 𝗧𝗵𝗲 𝗕𝗼𝘁𝘁𝗼𝗺 𝗟𝗶𝗻𝗲: You don’t need to be rich to invest in real estate. With the right strategy and financing options, anyone can get started and build wealth through real estate. 📢 Have you started investing in real estate? Share your experiences or ask questions in the comments! 👇 #RealEstateMyths #InvestmentTips #RealEstateInvesting #FundswellConsulting #WealthBuilding #BeginnerInvestors