10 Unit/ is this a good deal? Please help

[Brad Starks]

I am looking at a 10 unit building in Michigan.  The owner wants $200,000 for it and he will do a land contract at 6% with $50,000 down a 5 year with 30 amortization. It is a mix of 1 bedroom and 2 bedroom.  It is lower income apartments.  The building is about 20 minutes from my house.  

$48,000  rent per year

$3,600   taxes

$3,000  maintenance

$7,200  PM

$900    Trash

$1000    Snow/trash

$400       Hallway lights and parking lot lights

$3600     Water/Sewer

Let me know what your thoughts are about this deal. I have 14 SFH and a 5 unit building now and need help telling how much this deal should go for. Thanks

[Joseph Gozlan]

@Brad Starks At 50% rule it seems like a decent deal. I would ask for rent rolls and past few years of P&L to see real expenses over the years and not just the past year.