Projected Numbers

They purchased the home for $1.07m, which is a large purchase but still quite competitive for a 6 bedroom home with views like this.  The renovation and furnishing budget is $135k, and after putting 30% down on the purchase price, plus closing costs, they will be all in for around $485k.  Revenue expectations are $250k per year, which will net the Goldenbergs ~75k/yr in net income, equating to a 15% cash on cash return, which increases to 21% after factoring in equity gains from principal pay down and 2% per year appreciation.  These figures are after paying New School to set up and manage the property, making this an entirely passive investment.