Updated about 8 years ago on . Most recent reply
Torn between 2 properties, need to make decision today! HELP!
Hi everyone,
I need some advice on what property I should go with. Details below
Property #1:
Duplex
Purchase Price - $132,450 (Off market property, sellers are getting good price without commissions and don't want to pay all of my closing costs) Property has had some updates, needs about 5k in rehab, very light cosmetic things
Gross rents - $1650
Insurance - $50
Taxes - $205
Repairs - $165
Capex - $165
P&I - $535.82
Vacancy - $132
Cashflow - 397.18 per month
Total out of pocket - $38,112.50
Property #2: (Needs $500-1k of work, very maintained and updated. New metal roof and furnaces in last 2 years)
Duplex
Purchase Price - $100,000
Gross rents - $1400
Insurance - $40
Taxes - 197.33
Repairs - $140
Capex - $140
P&I - $396.91
Vacancy - $112
Water - $50
Cashflow - $323.76
Total out of pocket - $26,000
I'm leaning towards property #2 except it's about 15 min away, property #1 is 2-3 min away. What would you do? I'm thinking the one with less out of pocket and similar cash flow.