[Calc Review] Help me analyze my first deal
To what extent is this a good deal? Here's the info on this 1,550 square feet fixer upper duplex that I have under contract in Cincinnati, OH with worst & best case estimates:
Current Purchase Price: $99,910. I'm currently negotiating w/ seller to reduce price to between $85k to $90k based on the major rehab costs.
Total rehab costs: $31k get it rent-ready.
Annual prop taxes: 2,237.72
Total rent: Between 1,010 to 1,250 per month for both occupied units, depending on how bad the recession will become later in 2020.
Lawn trim, snow removal, gas, electricity, & water: Tenant pays.
Property management: I assume 10% of rent, so $101 - $125 a month.
NOI per year: $8,670 to $11,262.
Flood insurance: None.
Home insurance: $556/year paid outside of escrow.
CAP rate: 6.46% to 8.6%.