Ready to jump into first deal, please provide advice on deal!
I have found a property that I am very interested in and am prepared to move along with an offer. I am a first time investor and have just read a few books and researched this site as much as possible. I am a licensed agent and have a pretty solid understanding of my local market.
Now about the property. The property is a Triplex unit, with a two story single a couple feet away. These are two separate parcels being sold together. It is a rural property, so property is served by well and septic.
I believe the property can be purchased for $175,000. The taxes are $4,200. The Triplex has 1 4-br unit, 1 2-br unit, and an efficiency. The single residence is a large 2 br. When comparing possible rents, the units fully rented should rent for $3,300 per month. Two of the units don't need any work and are rented and bringing in $1,300 per month. The other two units need approx. 10-15k in rehab.
Does this deal seem to be a good deal to pursue. My main concern is having a well and septic system service the property. If either of these systems go bad, that is obviously a major expense. Any other info that I could provide to assist in analyzing the deal? I'd really appreciate any advice that you could provide.