first purchase in MF in westchester ny area
hi
im new to BP but was reading up on discussions. i live in westchester area (peekskill) and currently looking at a MF in the area (cortlandt/shrub oak/yorktown). Westchester taxes are pretty high but I want to do a house hack and would like some input from BP community.
4b3ba ~2500sqft house consisting of 1 2b1ba and 2 1b1ba built in 50s. new roof. septic ill ask agent tom if there are/were any issues with it. i'll do a house hacking since i'll go down the FHA loan route. figured i can pay as little as possible to get this moving.
price 375k. it's a sellers market but i'll try to offer 320-30 and maybe settle on 345.
all units are rented out at below market value. i could get $1800-1900 for the 2bed and 1400/1bed ~4600/mo
annual exp @345
ins 4300 - i will ask what this covers and if there's any additional liability coverage included. i will be buying under my name with liability coverage. i saw a lot of suggestions to do it under LLC. i guess I could transfer it over later on as the portfolio expands.
tax 15200 (welcome to westchester)
electric (620/mo tenants pay)
oil (heat)/gas (cooking - 2 tanks) 2200
water 450
no laundry in units. i could do a hookup in the small basement for all three to use although the laundromat is 5 mins away.
30 year FHA with 3.5 down the monthly exp total is 3500
roughly 1100/mo - %10 main 990 with 12k or 20k with closing costs.
i forgot the PMI if the DP is less than %20. idk how much that'd add to the total but I included 300 mo in my calculations for oil/gs and water which is 3600 gas and water are 2650 so hopefully the difference will cover the PMI.
do the #s make sense. i could probably get a better deal outside of westchester but this will be a long term investment where it'll slowly pay itself off at a 20k initial investment.
im scheduled tom to see the house. id appreciate any feedback on this idea and what to look/watch out for.
i used https://www.drcalculator.com/mortgage/ for my rough calculations.
thanks
Dom