Am I missing something?
Hi all,
I'm looking for a little help. I'm trying to get used to analyzing deals just so when I actually start looking I'll have a good idea of what to do. I was wondering if I am missing anything on this specific unit because it seems that I'm coming up with some really good numbers and I feel I'm forgetting something. These numbers don't include repairs because the listing says it was rehabbed two years ago so for the sake of practice I assumed zero. Any feedback would be greatly appreciated. Thanks in advance.
Sale price: $99900
Down payment: $19980 (20%)
Closing costs: $1998 (2%)
Mortgage payment: 5% @ 30 years = $5148/year
Income:
Monthly rent: 1br - $600, 2br - $750, 3 br - $950 = $2300 ($27600/year)
Expenses:
Vacancy: $4692 (17%)
Property taxes: $3500 (listed as $3302 in 2012)
Insurance: $2000 (estimate)
PM: $2760 (10%)
Utilities: $2000 (estimate)
Reserves: $1932 (7%)
NOI: $10716
Cash Flow: $5568
COC: 25.33%
Cap Rate: 10.5%