Good Deal or Bad Deal?

[Justin Rucker]

Curious if this would be good for my first deal. I would like to BRRRR the property. But it's in a small town and not a big enough margin in between sale price and value.

Sale Price: 55k

Exterior in really good shape

Good windows

Good roof

Nice brick home

Seller is going to put a new AC unit in.

Needs cosmetic work and new fence.

15k rehab cost

Cash flow between $300-$370 a month depending on interest rate.

I already have a tenant and will charge $850 in rent. Again small town so that’s probably the top end for rent. But it is never hard to keep rentals full in this town.