Owasso, OK · Member since 2017 · 20 posts · 17 votes
I' a new investor and looking for my first deal. Oklahoma investors and anyone that wants to pitch in. I found two properties below in the Tulsa area and I wanted to know what the BP community would recommend. Would they create a good cash flow?
1) 2 bed/2 bath $45,500. rent estimate $750. All appliances included and almost everything redone. 875 sqft.
Would need more information to know how well it cash flows. Like mortgage info, taxes, HOA/Condo dues, etc. You can use the BP calculators under "tools" if you haven't already, they'll help you get better idea of cash flow and remind you of expenses you may forget to add in. A few points difference in your mortgage could be all the difference.
The first one looks good on appearance as its a 1.6% (rent to price ratio) but would need more numbers to tell for sure.
The second one be sure to check on HOA, Condo dues, etc. Those can kill all anticipated cash flow. Also with a lot of condo associations when major repairs are needed all the owners have to kick in. So find out how those are handled, and get list of when major things like roof, HVAC, etc were last replaced.
I think you can find some better deals closer to 2% deals in the metro, with more research. But both look good if no needed repairs, and the other numbers work out. We recently sold a south Tulsa duplex for $75,000 that rented for $1,300 ($650 per side), so that was a 1.7% deal and I think they could easily go up to $700 per side, $1400 or 1.86%. So those deals are out there.
They both look fine, I like the first single family house best. Looks like your buying more house for about the same price. Rents are a little low but you don't have a condo fee each month. Is there a HOA for the SFR? I think you can make money on both but i like the 1st one listed.