[Calc Review] Help me analyze this deal

[Thomas Neff]

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*This link comes directly from our calculators, based on information input by the member who posted.

[Tim Herman]

@Thomas Neff couple of things financing seems high. capex is low no property management. Capex looking at the roof guess $12000 to replace/ 25 life span /12 months= $40 per month. Flooring 1200 sf @ $5 sf = $6000 / 8 years / 12 months = $62.50 * 2 = $125 per month. Two items are at $165 slightly above your $67 budget.

[Thomas Neff]

Thanks for the feedback. Still learning. There are a few places we are analyzing. Working hard to find that first one! Stay tuned!

[Jaysen Medhurst]

@Thomas Neff,

• As @Tim Herman mentioned, you're CapEx is too low. I usually figure 15% combined with repairs.
• You're missing both insurance and management.
• You'll likely have to cover water/sewer.
• What about lawn care / snow removal?
• Your interest rate is really high. I bet you can get something closer to 5%.

My math shows your cash flow around $169/month and CoC ROI of <6%. Not nearly good enough for me.

Also, don't forget to "@" people in the forums so they know you've responded.