Is my fear legit or just analysis paralysis...
Made an offer on a quadplex- listed at $240,000, property manager says 3 units rent for $650 and 1 for $750 because its furnished. Its in a town of about 12,500. Population has been fairly stagnant. Numbers look great IF I can keep it rented. Not really a commutable area to a major metro area... suggestions? I can still withdraw my offer if I need to.
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Any immediate/ or soon to be need repairs?
Numbers look great. I would ask the PM for the tenant's history to determine how long they have been there and see if they have been paying rent on time and take that into consideration. With a town that small, it might be hard to fill vacancies, but I would just increase my vacancy savings rate from maybe 8% to 15-20% to account for that. Even if you do that, you would still get 10-12% CoC with 25% down.