What do you think about this deal?
I'm a newbie to investing, and I think I've found a decent deal that has huge potential, but the cash on cash ROI is only 7.51%. So, I wanted to ask the board for an opinion on this deal.
Summary:
- Condominium
- Purchase price 75k
- 1 bed 1 bath
- 612 sqft with an 70 additional sqft (non-heated) sun room area
- Built in 1975, but in great shape
- Located in Charlotte NC
- Neighborhood on the rise (1.2 million dollar homes, and 800k+ million dollar homes for sale and being built on the same street
- School district all 9's
Financing options:
- 30 year fixed at 5.5%
- 10 yr ARM at 4%
Numbers below. Would you make this deal?