Analyzing deal in Charleston
Hi,
My names Colin. I've been analyzing deals in the Charleston area for few months now. It seems like many of the places I come across that are close to the 1% rule still have pretty thin margins based on how I am running the numbers. In this case the home is $110,000 2 bed 1 bath, supposedly currently rented at $1,000, 20% down, Taxes $1,000 based on not being owner occupied in Charleston county. $1,000 homeowners insurance, $1,300 maintenance, 10% vacancy and 10% management fee. It is not in an area with an HOA. This would put my carp rate at about a 5.7%.
Currently looking for my first deal so, I am curious to see if you all think these are reasonable numbers to have for analyzing the property. Any suggestions would be great if there is any thing I am missing or I am not accounting for.
Thank you,
Colin