[Calc Review] Help me analyze this deal
Hey guys. I have an opportunity to purchase this property that is currently starting a new 2 year lease with a community nonprofit. They have leased this property for the past 6 years. A couple things about the numbers.
- My bank allows me to borrow 100% of the purchase and roll in closing costs and fees. I do not need to layout any cash.
- I have set the vacancy rate at 0% because there is a very small chance this property will be vacated in the future. This organization is actively searching for more properties in the area. There is plenty of need.
- Management is 0% because I will manage.
- Current owner is a personal friend and has had zero issues with late rent or tenant issues for as long as he's owned it.
This is my first time using the calculator to make a buying decision so I wanted to see what you guys thought on my results.
Thanks!
*This link comes directly from our calculators, based on information input by the member who posted.