Owner Occupied duplex - Deal breakdown
Ok guys. I'm looking at this duplex that is a homepath property to owner occupy for the first year. Each unit is a 2/1, approx. 1,000 sq ft, has separate full basements and 1 car garage, built in 1976. Each unit needs new paint, flooring, kitchen hardware, appliances. Furnaces are a bit older. Roof is in good shape. Some windows are older, but serviceable at the moment.
Loan would be 5% down at 5% interest rate(won't be that high, but using to be safe)
This is all calculated for when it is fully tenant occupied -
List price $112,000
Monthly rent - $1,600 (can probably get more, but want to be somewhat conservative)
| Total operating expenses: $833.42 | Mortgage expenses: | $571.18 |
| Vacancy: | $80.00 | Repairs: | $112.00 |
| CapEx: | $112.00 | Garbage: | $40.00 |
| Insurance: | $80.00 | Management: | $80.00 |
| P&I: | $571.18 | Property Taxes: | $289.42 |
| Misc: | $40.00 |
Cashflow would be right around $200 per month.
What do you guys think?!