First time investor NEED help to decide if a good deal!

[Kim Conley]

Thinking I am ready to move forward with this deal. My husband and I are in are in our young 30's and are already homeowners and decided we want to start to invest in rentals for our future retirement. We live around the Pittsburgh area and found a 7 unit apartment in Braddock (4 units are currently renovated) All have tenants. Here are the #'s

Asking 140,000

They countered at 127,000 with paying 6% sellers assist.

We will put 20% down

Total yearly rents are $32940

Taxes $3185

Water and sewage $1620

Insurance $1500

Property management 10%

All the calculators I did shows approximately 18% Cap rate...I am VERY new to this ...so PLEASE give me any and all input you have. Thank you

[Kevin Goodwin]

I added in another 25% for vacancies, maintenance, and reserves.