Indianapolis Deal Analysis - is this a good deal?
Hi All,
Would love to get your thoughts on this potential investment - it's a duplex in Indianapolis - 68K
Property is rehabbed and each unit is 3 bed and rents for $550 and $475
Asking price: 68k
Yearly Tax - $536
Insurance - $600
Owner is willing to finance with 10% down at 9% amortized with a 5 year balloon payment - see my analysis:
https://www.biggerpockets.com/calculators/shared/7...
I would love to get your thoughts on if this is a good deal for buy and hold?Cash on Cash is 21.37%, is this good? I'm still trying to understand this cash on cash return.
It appears to be cash flowing $165.58
What would one do when the 5 years is up - do they owe 61,200 as the payments appear to be going directly to interest for the 5 years. I was thinking if I refinanced after a year but that would just refinance @ 70% of value so I would still owe the remainder....
Appreciate your thoughts on what you would do?