First Deal in the works

[Joshua Gutierrez]

Hello BP,

I'm currently in the works with what would be my first investment property. Here are some details:

- 5 units

-130k

- Fully occupied currently generating $2,945 in rents with some value adds and room to increase in the future

- Cash flow should be between $1,100 - $1,400

THE COMMERCIAL LOAN LOOKS LIKE THIS:

- 20% down

- 4.75% interest rate

- 5 year fixed with 20 year amortization 

- Mortgage including taxes and insurance $1,286.73 (taxes $4,976 annual and insurance at $200 to be conservative.I didn't get a quote yet)

I am as nervous right now as I was when I got picked up to head off to Marine Corps boot camp. I connected with a great agent/investor on here and really based my decision to go into this market off him. However, I am uneasy with the ARM as it seems there"s nowhere for interest rates to go, but up at this point. My initial strategy was to utilize BRRRR to scale a portfolio at a decent pace. I'm working with $300k to get started and would really like to have it available to scale.

Any thoughts or suggestions you all may have is greatly appreciated. Thank you.