Can you help me evaluate this 3 family deal?

[Joseph M.]

I am having a little trouble with calculating the maintenance/capex expenses. It is also hard to find comps for this type of property in this area. I would be putting 20% down with a 3 year ARM amortized over 20 years (no balloon payment). My best guess is the property needs about $5-10K over the next year to do some renovations.

MULTI-FAMILY – 3 Family

Asking Price

$137,500

The property sits on about a 1/3 of an acre and has 3 occupied units. All tenants are month to month at the moment and some minor problems with late payment of up to 7-10 days on one of the units. The rent roll is $2,500/month or $30,000/year and the annual expenses paid by the landlord are about $11,000.