Buying my first property
Hi everyone,
Thought I would throw this out and see what everyone thinks... I have interest in a duplex, its been vacant for about 8-12 months, I can't tell and the owner won't tell me. She got it quit claim deed 4 months ago. Asking price is 46k. I have spoken to a local PM who also happens to be my neighbor...I think he would steer me pretty straight and another Realtor and both think I can get 950-1000 per month in total rent. It doesn't need any cosmetic rehab. Insurance will be 550.00 and taxes 1453.00...I have figured that I will be making 80 bucks a door which is think is great for my first property (figuring 10% vacancy, 10% PM, and 10% maintenance, luckily for me I have great financing pre-approved due to good credit and a great relationship with the bank). This property sold in 2000 for 60k. Its in decent shape, but I don't have a clue as to the maintenance issues that will come up. I wanted it for less than 46k to save for the potential busted pipes, water heater not working, hvac dead etc... But she won't budge. I offered 42 and she flat out said no. Any advice you can give me? Should I give her the 46 and ask for some closing costs? Or a maintenance budget, or have her turn everything on and then inspect it? Just wanted to see what your thoughts are...If everything is fine, then this is a SUPER deal, but just wanted to get others thoughts and experiences.