Help me analyze my first deal

[David Miller]

Hi all, first biggerpockets post and possibly first deal analysis.

I have been looking in the cleveland market for a while after visiting last summer. A friend of my father has a property that she is trying to sell. She is retiring and wants to move her money into syndication projects.

Anyhow, it's a 3 bed, 1 bath 972 sf single family with detached garage and basement. The house is in Parma, OH. It currently rents for 975 and there's a long term tenant (3 or 4 years) that wants to stay on. The house is in good condition and since the tenant is staying it would have zero upfront renovation costs. She mentioned wanting to pocket $65,000, but wants to talk to her real estate agent. I have a sheet that I've used to analyze, you can find it here:

https://docs.google.com/spreadsheets/d/14GRgZoUh9oOWddoT7jJ_qPUIxPd8SKjr_qRdLIpsQEY/edit?usp=drivesdk

I think the numbers are pretty good. Would appreciate any advice, thanks!

[James Wise]

Originally posted by @David Miller:

Hi all, first biggerpockets post and possibly first deal analysis.

I have been looking in the cleveland market for a while after visiting last summer. A friend of my father has a property that she is trying to sell. She is retiring and wants to move her money into syndication projects.

Anyhow, it's a 3 bed, 1 bath 972 sf single family with detached garage and basement. The house is in Parma, OH. It currently rents for 975 and there's a long term tenant (3 or 4 years) that wants to stay on. The house is in good condition and since the tenant is staying it would have zero upfront renovation costs. She mentioned wanting to pocket $65,000, but wants to talk to her real estate agent. I have a sheet that I've used to analyze, you can find it here:

https://docs.google.com/spread... think the numbers are pretty good. Would appreciate any advice, thanks!

 This lady would be leaving a lot of money on the table if she sells you this house for $65,000. I imagine she knows this, which is why she's talking to her agent. If she moves the tenant out and does a minor cosmetic refresh she can sell it for $100,000 without issue. A more robust cosmetic refresh and she's going to be in the $130,000's.