Is this a good deal?

2 Replies

I’m a newbie to investing and would like your expertise on this deal:

4 Plex - brand new construction. Growing area. Near a university.

Each unit is 3 bedrooms/2 baths and going rate for rent is about $1250 each unit

Asking price $579k

Is this a good deal?

Any advice is appreciated.

@Dawn Vu

You are going to have to give us few more details for us to start analyzing.
For instance, how much are planning on placing for a down payment, what is the yearly property tax on this 4plex, how much do you guess insurance will cost. Will you be the one paying for water/sewer.

I just used some generic numbers to just see what your monthly mortgage would be and compare it to the amount of money you will be getting from each unit. At the end of the day, you will not be cash flowing that significantly with those figures. If you ever do get the property, I may rethink the amount of rent I would be charging each unit.

Originally posted by @Dawn Vu :

I’m a newbie to investing and would like your expertise on this deal:

4 Plex - brand new construction. Growing area. Near a university.

Each unit is 3 bedrooms/2 baths and going rate for rent is about $1250 each unit

Asking price $579k

Is this a good deal?

Any advice is appreciated.

 No way of knowing based on info given.  Rent means nothing alone.

What's the cash flow per month?  How would you be buying this...funding?