May 2019 - Portfolio Update
Welcome to Jump In Real Estate's May 2019 rental income report! YES! I had another pretty dang clean month with limited expenses. *KNOCK ON WOOD* Cash flow was UP!
One big note: the tenant in My Second Property has a lease expiring next month (June 8th). So this will be my last full month of rental income from that particular property for 2-3 weeks while I get it turned around, marketed, and re-rented. I have no idea what the condition of the place is in right now...I'll find out soon...
Another random note: this marks the 1 year anniversary of selling My First Property. Glad to have that one off the portfolio...for many reasons.
Check out my May Income Report below!
My First Property
I bought this single family house in December of 2016 and SOLD it in May of 2018. 2 Bed/1 Bath in a "C" Class neighborhood. NO MAY INCOME. See how it performed HERE.
My Second Property
I bought this single family house in March of 2018. 2 Bed/1 Bath in a "B" Class neighborhood. It's currently rented to two medical students on a 12-month lease.
Very boring month (which is a good thing haha!). I had no expenses other than mortgage, taxes, insurance, and property management. But, like I mentioned earlier I have an impending vacancy coming up real soon...June 8th to be exact. It should be an interesting June.
Gross Rents: $995
Property Taxes: $216.32
Property Management: $89.55
Income ($995) - Expenses ($719.19) = $275.21
Cash Flow from My Second Property: $275.21
My Third Property
I bought this duplex in July of 2018. Both units are 2 Bed/1 Bath in a "B" Class neighborhood. The lower unit is currently rented to a young married couple and the upper unit is rented to a young professional.
Another very boring month...which I don't mind! I had no expenses other than mortgage, taxes, insurance, and property management. I love clean months!
Gross Rents: $1,725
Property Taxes: $221
Property Management fee: $172.50
Income ($1,725) - Expenses ($1,179.24) = $545.76
Cash Flow from My Third Property: $545.76
My Fourth Property
This is an 80-unit apartment complex in Louisville that a group of partners and I purchased. It was acquired for $2.25 million and we're investing $1.05 million into it over the next 7-9 months. Cash flow isn't expected until July of 2019.
I have yet to receive a May update from the partners running the deal. So, that's a little concerning. I HATE lack of communication and I expect monthly updates. I have to follow up with them ASAP. Our last update in April stated that occupancy is up to 72.5%. The goal is to be over 85% occupancy by July. Our biggest focus is to get these vacant units fixed up and rented to keep driving occupancy. Cash flow is still not expected until Q3 of 2019.
FULL PORTFOLIO CASH FLOW: $820.97
It was great to have another clean and straight-forward month. All this cash flow is going straight into my reserves for future expenses, and I'll hope for another clean month in June.
***VERY IMPORTANT NOTE: even though I brought in positive cash flow after all my expenses, I'M NOT TOUCHING any of it! This income goes toward my next investment and any future expenses. I have a day job and side-hustles to cover my lifestyle :)
If I ever get to the point where I actually want to take the cash flow, I would still only take about half of it and save the remainder for future expenses. This is SUPER IMPORTANT! ALWAYS factor in future vacancy/repair/maintenance expenses. Make sure you know how to properly calculate cash flow HERE.
Let me know if you have any questions!