Updated over 6 years ago on . Most recent reply
Please analyze this deal
Hello BP community -
Hoping to get some feedback on this property that just came up for sale in my local market.
The numbers -
Asking price is $300,000 but I would offer and pay no more than $285,000.
Taxes would be $5,500 per year
Rents for each would be conservatively $1,300 per month and probably closer to $1,500 per month.
If financed with a standard loan @ 4.5% i see PMTI at $1,700 and with a HELOC for the 25% down that payment would run $500 per month. So all in my costs would be about $2,200 per month and rents would be between $2,600 and $3,000. The duplex was recently remodeled so up front cap ex would be minimal.
Cash flow would be $400-$800 per month before vacancies and cap ex.
Seems like an OK but not great deal, but curious on thoughts.