Texas Multifamily 4 Bed / 3 Bath
Hi everyone,
I’m a 17 year old and I'm new to analyzing rental deals and wanted to run a quick analysis by the community to see what I might be missing.
Purchase price: $250,000 on Zillow (849 Grape St, Abilene, TX 79601)
A nearby single family house 3 bed / 2 bath rents for $2,500 a month on Craigslist (313 Woodstock Ln, Abilene , TX 79602)
Important notes:
- Built in 1924
- Brand new hvac
- Property Tax for 79601 area, ~ 2%
Assuming $2500 rent, expense estimates:
Down Payment: $50,000 (conventional loan)
Mortgage: 200,000 loan, (assuming 1,000 borrowed ~ 6.5 dollars per month) $1,300 per month
Property taxes: $420 per month
Insurance: $120
Maintenance: $210 (1% rule)
Vacancy: $125 (5% of rent)
Total expenses ~ $2,205/month
Estimated cash flow ~ $295/month.
Does this look like a reasonable analysis? Are there any major costs or risks I’m missing when evaluating deals like this?
Appreciate any feedback!