Single Family High Rent Tenants

[cmattric]

Hi All,



Most of the REIN members out there have their own niche. Some do Rent to Owns, others do apartment and condos.

I wonder if anybody does Executive Rental. It's not million dollar housing to be exact, but my plan is to rent to professional couples with children $2500 and up, perhaps furnish it and rent $3000 and higher.



Thinking of single family houses close to Professional Companies (Oil&Gas Consultants etc..) in Calgary. Numbers make sense, great cash flows. Just want to know if anybody's doing similar work and have some suggestions for me.



Appreciate the help.



Mehmet

 

[invst4profit]

What is the purchase price of the homes and basic expenses to carry a high value home, mortgage payments, down payment, insurance etc?

 

[cmattric]

Greg, I appreciate the response but, I already mentioned that the property cash flows and fits the system. I don't think those questions matters.



What I wanted to know was the clientele and the market, and any immediate red flags.



Thanks

 

[MemberSupport]

There is an excellent post and thread on myREINspace on this subject from about a year ago:



http://myreinspace.com/search/rein_members_only/Members-Only_Discussion/81-23819-118412-furnished_executive_rental_cashflow.html#118412

 

[invst4profit]

[quote user=cmattric]What I wanted to know was the clientele and the market, and any immediate red flags.



Thanks




Sorry, my immediate red flag is that I find it rare that investors actually accurately calculate future cash flow. Most, especially in regards to SFHs, under estimate and negate a very high percentage of costs as they rarely look beyond "today's" cash flow.

However at $2500/month assuming your homes are not costing more than $300,000 you should be OK if mortgage rates don't increase too much.