4plex a good deal?? Looks great from here

[Mike Wallace]

Asking price 99k
Put 20k down= 79k financed

Yearly expenses:
Debt service 30 years at 5%= $5,088
Taxes= 4,357
Insurance= 1,200
Vacancy, 10% of gross rent= $2,500

Gross rent= 25,200. $525 monthly per unit.

cash flow=12,055

60% return on investment.

Working class area, not "ghetto warzone' at all.

[Brandon Hughes]

Hey Mike

I had a question for you, How do you arrive at 60% return on investment?

Thanks