First Rental Property

[Blaine Atkinson]

Finally made the jump on my first rental property.

Deal specs:

Purchase $51k

2br 1ba

900sqft

Built 1940

Spoke with local agent who did a rental comp between $800 $900 monthly in it's current condition. Local housing authority states they will pay up to $1088 for the property.

Mainly cosmetic repairs needed. Walked through with contractor who estimates up to $10k. Some of this I can do myself ( flooring, paint, trim, etc)

Surrounding comps are around $100k to 130k. Down side is that it is very close to a paper plant and industrial area. Within 0.5 miles

Financials:

I plan on paying cash to purchase the property, make the cosmetic repairs, refinance with local CU ( they have already agreed and I've used them previously for real estate transactions ).

Thoughts and input welcome