Would like some feedback on my latest rental purchase
I've been doing this for a few years now and feel like I know what I am doing, but I also know it's good to get feedback from other investors to keep myself in check. I guess I'm looking for validation that I am on the right path.
Anyway, here is my latest deal. Thoughts?
Purchase Price and closing costs - $30,000
Rehab - $5,000
All in Price - $35,000
Market rent is $750 a month but I like to go below market to get it rented fast. So $725 for rent.
Gross Annual Revenue - $8,700
Effective Gross Revenue (10% vacancy) - $7,830
Expenses
Mortgage 15 year at 5% (15% down) - $2,820 per year ($235/month)
Taxes - $400 per year
Insurance - $500 per year
Capex 10%- $830 per year
Routine Maintenance 10% - $830 per year
Property Management 10% - $830 per year (although I do self manage)
Profit of $1,620 per year
Thanks for your time.