Tuesday, January 10, 2012

Rental income, expenses, downpayment and break even for a $250,000 condo?

I intend to buy a $250,000 condo for investment and to rent it out. While I realise that the rental income would vary city from city, should I expect that the rental income would cover my expenses (mortgage, condo fees, etc) if it is 100% financed (with my house & other investments as a collateral)? If 100% financing would not cover the condo expenses, what would the general approximate % downpayment (20% downpayment ?) that would make it break even?

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