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What is a Budget?
1. Take cash/line of credit and purchase a complete one-bedroom, fixer-upper condo for $18,000. You will also need $7,000 to completely gut and rebuild the condo. This process will take one month after purchase; you are going to outsource the process. If you choose to take out a line of credit, you would have a 0% financing offer up to $25,000 for 15 months. Remember you can also use cash. You decide what you would charge for rent and the HOA fees would be the same as the other condo you purchased. The property taxes are $1,676 annually (139.67 per month)
2. Would you like to sell any of the properties? If so which one and why? Currently the appraisal on the condo is $135,000 and the house is $70,800.
3. What about raising the rent on the properties?
4. Are there any other business decisions you would like to make?
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