3/2 1550 sq feet, 2 car garage located in Central FL Built 2001
Inside needs painting and a fridge is all thats needed.
This will be my first deal and all comments are much appreciated! Oh and I'm a buy and hold kinda gal :)
there's tons of of other factors, what's the neighborhood like, expected vacancy, deferred maintence, etc.
but on the surface a 1.5% deal seems good.
thanks @Josh C. I knew there was more I should add.
It's in a very nice neighborhood, close to schools and shopping but on a quiet street. Low crime. No HOA. I've seen so many different ideas on vacancy and maintenance that I'm not sure what to allow?
I'm still working on my first deal. But, these are various costs I'm going to be factoring in addition to PITI. Of course, all will not be applicable do every property.
Property Management Fee
Assuming a 30 year mortgage at 5% your P&I would be around $382.00
At first glance, using the 50% rule your monthly cash flow would be:
($1100 * 0.5) - $382 = $168/month
Does that work for you?
There are no details on the condition of the house so you may have rehab costs, holding costs, marketing costs to get the place tenanted out. That will affect your CoC return.
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