First Deal
The property is a 3/2 main house with two 1/1 apartments out back. The apartments rent for 500 each per month and the house for 1500-1600 per month. Purchase price is 200,000. Comps 300-350,000. Main house needs roof repair or replacement. The apartments need a new roof and renovating. The main house has been 90 percent renovated (new kitchen,bathrooms,ac,electrics,doors and fittings) and only needs some finishing touches.
I plan on living there with my girlfriend and renting two room to our friends for 450 per room all inclusive.
Taxes are 7,900 for the 2008 year to be appealed in September based on purchase price of 205,000. Insurance is figured at 341 based on 2% of purchase price.
My question is if I had to move out and rent the house is this a good deal?