newbie need advise on sub2 and Property management in Columbus, Oh
Hello BP investor !
For the last few days, I look hard to find a solid deal under my belt. This is my second potential deal that I need good / bad / negative advise around the area in Columbus, OH. If you have time, please explain detail as possible as you can.
Here the information:
Type: Duplex
Address:
https://www.google.com/maps/@39.952842,-83.067857,...
Per seller 2 bedroom 1 bath on each side. one side rented $420. Other side occupied by owner. Seller need cash. No owner financing available.
Per Rent-o-meter, 2 bed/ 1 bath can rented $525.
Per Realtor Property Resource: 4 bedroom 2 bathroom. In addition, if the Realtor Property Resource information is correct, there are three loan on the property - 80k, 86k, and 65k . Market value is 46k
Seller wants someone to take over the FHA loan. How can I write sub2 contract? Do I put "subject to existing loan"?
Mortgage: rate 3.875% = $645 30 years. / refi $860 14 years.
Here the number:
Future rent: $420 + 525 = $945
Current rent: $420
PM: $945*11% = 103.95
maintaince: $945*15% - 141.75
Gas: $120 (per seller, you have control the gas if you are owner occupied )
Property tax: 1394/12 = 116.67
Net = $420-103.95-141.75-116.16-120= -61.86
I probably will get negative cash flow until excellent PM out there help me to fill up the vacancy. I will update more after I talk to the seller. I'm trying to get first deal under my belt. Sorry if I ask too many question.
For now, should I pass or keep?
Thank you in advance !
Jason.