professional landlords

[EanBrown]

I have been wondering about professional landlords..
how much capital do you need? how many properties do you need? are there any out there and do you have any advice? looking for properties with good yields has become impossible in ireland. I know its a general question. i have 2 properties generating 1,500 in cashflow per month. i have space for much more leverage and am looking for some advice or opinions from some people who have done it before me. I have been thinking of doing it full time.. any thoughts???

 

[sluice44]

I'm not a professional/expert anything so back of the envelope calculations....

--You'd like to 'earn' €30k pa (guessing €60k before tax)
--Yields are, say, 5%
--So for every €100 you invest, you get back €5.
--Therefore, you'll need to invest €1,200k (€60k x 20) to earn €30k pa.
--To buy property worth €1.2M, you'll need 20% cash (80% mortgage) and a business plan (and DIY skills!).
--20% = €240k 'cash'.
--If you don't have DIY skills, add in tradesmen at €50 per hour.

If the yield is 2.5%, you'll need €480k cash [(€60,000 x 40)*20%]

Over to the experts....

You also mention that...

i have 2 properties generating 1,500 in cashflow per month.

How much profit are you making on these right now or are you assuming that you'll make a profit when the capital value rises next year. The bank will probably ask.
Edit - For the past year or two, I'm one of those who thinks that the property market will fall and someday I'll be right :b