1st Time House Hacking in College Area
Hey,
Im looking at a 9BR/5BA in a college area in Philly and wanted to know if my numbers make sense. I will be using an FHA with 1.5% down and a 2.75% mortgage rate. The house is asking $395K but I would bid ~$383K based on 70% ARV. I would assume cosmetic costs and minor repairs are around $37K. I was wondering if that would be enough to appraise the house around $600K after fixing it up. Or is that an incredible stretch? Are my numbers reasonable or do I need to make adjustments? Thank you in advance.
House would be renting for $4K a month and after all expense cash flowing ~$160/mo. At the 5 year mark I would sell the house for ~$527K. (ARV selling plus Cash to close)
