Is this a good deal for my first property?

Question

https://www.redfin.com/AZ/Tempe/825-W-3rd-St-85281...

4 units.

Current monthly income: $3360

Yearly taxes: $1447

Electric per year: $680

Insurance per year: $676

Sale Price: $525k

$2k per month in mortgage.

I make $50k a year. 20 years old. Only have rent and car payment. Live off $1500 a month.

Matthew Parkhurst · Answer

Account Closed Meeting tomorrow with the owner to discuss some numbers. Possible seller financing.

Antonio Lulli · Answer

Maybe my perspective is skewed from Baltimore's exorbitant rates, but the taxes seem awfully low for a 525k sale price - what is the property assessed at? Also, is this a reposition play or are you buying mostly turn key? What is the unit mix - 1BR/2BR/3BR etc.?

Matthew Parkhurst · Answer

@Jim S. Only pay electricity for the laundry room. All units metered.

Jim S. · Answer

I don't think the monthly income fits the sale price. And the electric per year is no way.

Matthew Parkhurst · Answer

@Dick Stevens I could do either. More than likely renting all units but I know there is usually a benefit to doing owner occupancy.

Dick Stevens · Answer

Are you owner occupying it or renting all unit?

Matthew Parkhurst · Answer

@Dick Stevens In your opinion was is this property worth?

Dick Stevens · Answer

Aweful deal. Are the rents way below market? They are very low for that kind of purchase price. Also, FYI, there’s no way the insurance is that low on a rental property.

Is this a good deal for my first property?

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