
425 - Understanding Cash Flow: Are Your Properties Really Profitable? by David Greene
BiggerPockets Daily
00:00
How to Calculate Cash Flow in Real Estate
Rental property owners often measure cash flow as net cash flow, which is the amount of money left after a transaction has been finalized. The problem with this formula is that it can make real estate investing seem unprofitable. To insure you have a cash flowing property, you need to perform an accurate rental property cash flow analysis. Good cash flow is anything that puts you above 100 dollars per earning per unit that you own. For a duplex, aim for 200 dollars at a minimum. If your house costs $1 million and you're making one hundred dollars a month? That's not a good deal. Do you want to retire early? Why are you investing in rental properties? What led
Play episode from 02:07
Transcript


