My first time analyzing a deal think I messed up, any help?
Debt service is not calculated with NOI.
You will want to bill tenants for all utilities: Water, Gas, Electric, Garbage, Management fee.
That will bring expenses down from 3,900 to 1,400 - still not cutting the 50% rule.
Your repairs, capex, and management are (in my opinion) flexible. Is the house needing alot of repairs? This doesn't seem like a good deal to me unless you can raise rents.