Thoughts on this deal / Advice for future?

[Justin Perry]

We are building a new home with MI, and are paying cash. 

4-bedrooms, 3.5 bathrooms. 2700 sq/ft. 

Great corner lot, very nice location (no neighbor to the back, street in front and to the left hand side, with park across and bike trails). 

The total cost of the home (before the design phase - where we pick flooring, cabinets, etc.) is $453,670. 

We are estimating that after the design phase, the total investment will be in the neighborhood of $485,000. 

* We plan to opt for tile flooring (first floor), laminate (second), and a few minor upgrades we believe will attract renters, and increase the long term value of the property. 

Total investment is estimated to be $485,000 +/-. 

Rents in the area are estimated around $3,000 / month for properties similar to this (albeit not as nice). 

A breakdown of income / expenses are noted below. We're using a spreadsheet template to analyze the deal (we got it from Roofstock). 

Rent	$3,000.00
Vacancy Factor	$150.00
Expected Rent	$2,850.00
	Month
Prop Taxes	$655.50
PM Fees	$0.00
Leasing Fee	$0.00
Prop Insurance	$199.50
Repairs & Maint	$156.75
Cap Ex Reserve	$150.00
Other/Misc	$178.00
Total	$1,339.75

We are confident the house will appreciate significantly, as they are building a new downtown area near this community (new restaurants, bars, retail shopping center). It's a very nice sub-division, and the local town is growing fast (north-east orlando, just outside Lake Mary / Sanford). 

Looking for input and thoughts on the deal. They have more new homes available for purchase in this community as well and we're thinking of picking another one up. I have searched in central florida, and this is one of the best communities I have found (IMO). We're also not ready to jump into a out of state property - just yet. Want to learn a bit more first. 

ABOUT US: 
I am a business owner and my wife is a real estate agent - we are both 37-years of age. This is our first real estate investment. We have no debt, and a large cash savings stock-pilled (around $2M). Presently this is invested into various CDs and high interest savings accounts, earning around 4.5% on average. We are concerned about having too much in cash, and in the banks... And we've always wanted to create a real estate investment company, so we are finally taking the leap. * We are cautious investors, and like the safety that comes with being debt free (thus why we are paying cash, for properties). 

Looking for feedback on this deal, and advise / guidance on ideas on what to do moving forward with savings. 

Thank you everyone.