Rhode Island Multi Family Investing
Hi everyone, I can tell from reading the forums that there are several talented and knowledgable resources for investors in the Providence RI and surrounding areas. I have been out of investing for a few years to focus on my career and luckily that has been very successful finally. At this point I am ready to rejoin investing in RI and from the looks of it Pawtucket and Woonsocket seems to have what I am looking for.
So my question is to see if these numbers align with what investors are currently seeing, and if not where I should make adjustments in my calculations. The goal would be to find a multi-family for around $250,000 and the following relevant metrics.
Purchase Price: $250,000
Closing Costs: $3,500
Pre-rent Holding: $6,000
Estimated Repairs: $15,000
Total Cost of Project: $247,500
Down Payment: $50,000 (If 15K in repair would try to get purchase price down to 225K) if that then... $45,000
Loan: $200,000 (If 15K in repair would try to get purchase price down to 225K) if that then... $180,000
Cash Needed: $65,000-$70,000
Loan Amount: $200,000
Loan Period: 30 years (If I can I might go for lower, if my current job could support quicker loan pay down)
Loan interest rate: 3.5%
Monthly Mortgage: $870
Rent: Three Units $1000 each, so $3000
Taxes: $300
Insurance: $90
Vacancy: $150
Repairs: $150
Cap-ex: $150
Water/Sewer/Garbage/Gas/Snow Removal/Lawn/Electricity/Cable: Tenant pays
Property Manager: $300
Total Expenses: $2,010
Cash Flow: $990
CoCROI: 16.9%
Does this seem reasonable? Am I missing something here??? Thanks for all of the help!