Today I met with a realtor with the intention of finding out more about investing in Japan, but we ended up talking more about investing in a local property for my first investment. Her main point was to buy a property with 10 to 18% cushion so that even in the case of market downturn, the investment is still safe. So I did some calculations and made these assumptions, but the investment still did not look attractive. Here’re the assumptions.
- stagnant market (no housing appreciation in 12 month, but no drop either)
- 4% of house value to fix the house that was bought at 15% below market value
- 12 month holding period.
- 625 monthly rental income for a 2 bedroom (I would occupy one of the room)
- 6.5% rate (5/1 mortgage, or 3/1 mortgage)Â Â Â Â
jack, nice website. hope everything’s going well for you.
-dirt mcgirt