FL Beach Townhome. Offmarket. Owner Finance. Great Rental Income. What you think?
I have been lucky enough to come across an unlisted townhome 265' from the beach in Florida. I have be able to negotiate some good terms. What do you think of this property? How would approach it? (I am having trouble coming up with the 30K)
Details.
1bdr 672 sq ft - not a high rise but you actually have your own driveway)
Sell price of $75000
Down Payment of $30000
Owners will carry $55000 @ 5% for 15 years - (434.93 per month)
Rents to snow birds for $650 per month for 8 months out of the year. During peak summer season its rents for $700-$750 per week. All rents have been documented and verified, with current winter tenant in now and signed on for next winter. No planned assessments within the next 3 years. Gated community with the amenities.
Potential Income - $18,500
Less 20% Vacancy - $3,710 (73 days per year)
Effective Rental Income - $14, 840
Less 12% Taxes - $430
HOA Fees- $1,560
Maid/Turnarounds - $1,580
Insurance - $1,400
Maintenance - $800
Operating Expenses - $5770
NOI - $ 9,070
Debt Service - $4270
Cash Flow before taxes - $4,800
Cap Rate of 30%
Cash Flow 16%
Is this something you would buy and hold or try to wholesale? (Since im having trouble with the 30K)
Thanks
J