Is this a good deal?? Triplex analysis for buy and hold
Hey guys,
I'm looking at this triplex that looks like a good deal (for a rental property) but not really sure if I am overlooking anything. The asking price is 350,000 for a triplex with 3 units. 2 units have 2 bedrooms, and 1 unit has 3 bedrooms. Each of the 2 unit bedrooms is rented out for $1000 each and the 3 bd is rented for $1500 so producing a total of $3500. This meets the 1% which is good for Houston in my opinion, and also seems to meet the 50% rule.
It is not in the best area but it is really close to a couple of universities and 5 minutes from downtown so I think there is a lot of potentials for tenants. I have also checked and it is not in a flood zone.
One thing that stood out to me was that the house is appraised by the County Tax office at $406K buy it's selling for $350K. Should this raise any red flags?
Please take a look at the analysis below and feel free to let me know anything that i might be overlooking or did wrong.
Thanks!
