Opinions on this deal
Hi everyone, looking for opinions on this one.
First, I'll say we're planning to use this as a rental property and sell it in about 10 years.
- Safe, older neighborhood with small homes near a military base.
- SFH Ranch style, 2 bed, 1 bath, 1 car detached, 730 fsf, unfinished basement, built in 1944.
- newer furnace, older central air, 10 yr old roof, newer plumbing, updated electrical service, vinyl siding, new windows and doors.
- needs about $2,000 in small repairs to be ready for tenant.
- purchase price $77,400. (county assessed at $86,000)
- Rent 750/mo
- taxes 144/mo
- insurance 46/mo
- rep/maint reserve 12% = 90/mo
- vacancy reserve 8% = 60/mo
- other reserve = 10/mo
- mortgage P & I 247/mo
- cash flow = 150/mo
- Cap Rate about 6%
Ready for your thoughts!!