I just put in an offer on a rental that got accepted. The purchase price is $112,000 with no closing cost. There is a tenant in the property until Feb. 2022 paying $1200 a month.

Looks like I will cash flow right around $200 if my numbers are correct. $400 for mortgage, $150 taxes, $100 insurance, $120 property management fee, $100 future repairs, $100 vacancies.

Property doesn't need any repairs and is one side of a townhome in a popular area. Would you guys consider this a good first deal? Just trying to get some feedback from other investors. Thanks!

@Devin Duval Given that there are no closing costs, it's not bad. And you have to start somewhere, so it might be exactly what you need.

It's a bit tight on a pure cashflow basis though. It's good to take into account future repairs, but you should also consider CapEx separately. The fridge, the roof, the AC - when these inevitably go out, you'll have to pay for a replacement and that cost comes from your cash flow.

Do you expect the property to appreciate? 

It looks like a decent opportunity. I recommend putting that cash flow aside and saving up a nice reserve, then prepping for your next investment. Onward and upward!

@Dave Spooner It was in an area that appreciates, bit I didn't get the property. Someone came with a cash offer. Come to find out the seller's agent was the owner and owned the property management company. But thanks for the advice/input!

@Nathan G. Thanks! Deal fell through, but I appreciate your input!