How to Know If I Should purchase My First Duplex???

[Lain McCanless]

Hey Everyone! I have an opportunity to get in on a Duplex that will rent for $1000 on each side. They are asking close to 300K for the property. It is a cosmetic fixer-upper. Should I go for it? What are some quick indicators of it would be a good buy or not? I typically operate with short-term rentals so this is new to me. 

[Logan Cheek]

I have a lot of clients that like the 1% rule in my market. Although it is difficult to find a 1% deal in my market. What a 1% rule basically means is that a 300k property should rent for $3,000 a month. This all depends on what numbers you like to see and what matches your individual investing goals. We also like to make sure that the units are separately metered (this can really change your numbers a lot if not) since tenants often pay their own utilities in my market. We also look at all the big-ticket items in every home we see to check if they are at the end of their life, like the roof, HVAC, hot water heater, appliances, etc.

Hope that helps!