First Rental Property

[Ebenezer Carpio]

Looking into buying my first rental property. Does these numbers make sense?

Purchase Price $90K

Down payment 20%

Mortgage payments $702/mo.

HOA: 50/mo

Rent income: $1,500-$1,650.

Cash flow $798-$948

I might have to put 10K-15K in repairs (flooring, paint and some appliances). The ARV is $135,000 but I don't plan on selling this.

Thanks in advance!

[Teresa F.]

All sounds good.  Depending on your local rules you may not be able to get rid of the current tenant even if you wanted to.  So best to keep the person who knows the property and is happy with it then take out a loan to update the property.  You may want to lock in the tenant with a new multi-year lease that builds in your rent increases.  Congratulations!!!!