I've been trying to figure this one out. Forgive me, I'm fairly new, but we're excited about the potential of buying this duplex and in my head, the numbers work out. But it's not looking like it on paper. Did I mess something up in my calcs or is buying this one a bad idea? View report
*This link comes directly from our calculators, based on information input by the member who posted.
@Nicholas L. - thank you for your response! Yes, this is an actual property in MN. Rents for the 2 bed / 1 bath side is $1500 and the 3 bed / 2 bath side is $1700. Yes, tenants pay utilities. I found the insurance by Googling "average homeowners insurance cost in MN", and got $112, so I multiplied it by 2 because it's a duplex. Is this what I'm supposed to do?
@Sierra Thornley it's an OK estimate but even better would be to call an insurance broker and get a real live quote.
so - rents are $3200
now you need to take the utilities out of the expenses - get a real insurance quote - get a real capex estimate - add management fees (in case you ever need it - you want the property to be able to support it)