November 2018 - Income Report
Welcome to Jump In Real Estate's November 2018 rental income report! All my units are rented and we're finally back to a POSITIVE cash flow month :)
On top of that, I had one of my renters renew their lease for another 12 months! That's always a great sign...because that means income will be coming in for another year. Check out the details 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 NOVEMBER 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.
Relatively smooth month, but I had one $95 expense. Aparently, the outlet in the washer/dryer room was loose and needed repair. Other than that, it was a straight month where I took full rent and paid my mortgage, property taxes, and insurance:
Gross Rents: $995
Property Taxes: $216.32
Property Management: $89.55
Income ($995) - Expenses ($791.62) =
Cash Flow from My Second Property: $203.38
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.
This property is turning out to be the little trouble child right now hahaha. Had another little repair expense that popped up out of nowhere...Unit 2 had a leaky kitchen sink and the bathtub sealing was in need of repair. That came out to $126.50 in November. I also had a contractor go out and check the crawl space because there's standing water down there. I'll say this....it's not good. But, that'll be an update for next month.
Gross Rents: $1,725
Property Taxes: $221
Property Management fee: $172.50
Income ($1,725) - Expenses ($1,234.86) =
Cash Flow from My Third Property: $489.14
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.
Pretty boring month here for the 80-unit I invested in. Cash flow isn't expected until probably July of 2019 as we work to renovate units, bump up rents, and stabilize the property. But, work HAS started so everything is moving in the right direction!
FULL PORTFOLIO CASH FLOW: $692.52
Well, the good news is we're back to a POSITIVE cash flow month! Yes, there were a couple repairs here and there, but that's why you always run your number conservatively and have reserves ready.
***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!