Question about my 1st Cash Purchase / Investment Property

[Erman A.]

I am new to Real Estate investment , I have been looking for a deal for several weeks now  and I think I found one , I would love to have your opinion about this. I don't have a good credit score because I went thru business bankruptcy and had few personal guarantee so it effected me personally etc. etc. I solved it  but I lost my credibility and it will take several years to fix it.

I will purchase this place cash to generate passive income.

The apartment is $175K   2 Bed 1 Bath

HOA : $300 a month  x 12 = $3600 a year

Tax : $1400 a year.

Insurance etc. :$100 a month x12 = $1200 a year

Option 1 

If I rent the place 12 months contract , it rent for $1,650 a month.

$1,650 x 12 = $19,800 - HOA,Tax,Insurance = $13,600 NET

Option 2 

If I rent the place month to month , it generates $2,400  a month.

$2400 x 12 = $28,800 - HOA,Tax,Insurance,Internet,Electric etc = $21,540 - $4,200 Management Fee = $17,340

Option 3

If I do Vacation rental with Property manager cuts %30 and gives me %70 which is $25,000 After all the expenses.

The property value would go up to MAX  $205K-$220K in 5 years.

I really will appreciate your opinion on this..

Thank you,