6 units 124k deal analysis
Greetings,
I am looking at deal as follows:
6 plex with total rents of $2300 per month.
4 two bedrooms and two efficiencies.
Owner willing to finance 15%.
The building is currently separately metered however owner pays water, trash and gas bill for hot water heaters. The total utilities owner pays per month is $170.
The payment on property would be right at $700 per month.
Insurance will be about $150 per month and taxes are $190 per month.
Does this seem like a good deal?
Please help me if you can. Thanks
Jordan
Most Popular Reply
The so called cap rate is the net operating income divided by your cost of the property. The net operating income is your rents - your operating costs. I plugged in my numbers in some places so it might not agree with your numbers.
Bill