House Hack Deal Need Opinions/help/comments
I'm looking at a duplex property today. Each unit has 1 bedroom and 1 bathroom. Unit 1 get's $825 in rent (1st floor), and has all new floors and appliances. Unit 2 (upstairs) also is 1 bedroom 1 bathroom & receives $650 rent, but could use new flooring and appliances, however, the tenant has been living upstairs for 13 years (section 8 tenant) so I don't plan on bothering them too much. The total rent of the 2 properties is $1,475. Here's a breakdown:
Rent: $1,475
PITI: $890
Water: tenant pays
Trash: tenant pays
Snow: tenant pays
electric: tenant pays
Gas: $80
Property management: $148/mo. (10%)
Vacancy: $74 (5%)
Repairs: $74 (5%)
CapEx: $103 (7% of GI)
Monthly Cash Flow: $106
My question is: The home was built in 1896, however, it's in growing city and in a great location. I know the numbers are tough to calculate for somebody in a different area, but I wanted to see what questions people had and concerns with the older property etc.