Three Paths to Choose From on Deal TOO BIG for a Rookie?

[Tim DeFor]

I found a 4 two-bedroom, one-bath duplex package deal that cashflows. I believe it has big upside in increased rents and forced appreciation. It is out of state, but I have family there and I know the city. Would you recommend that I pass, find an experienced partner, or plunge in?

$400K Listing Price

$4,800-$5,200 Current Total Rent ($600-675 / unit)

$5,600-$6,800 Market Rents ($700-850 / unit)

$6,500 Annual Property Taxes Total

$2,600 Annual Insurance Total

All four units are in a row on a dead end street. They have unfinished basements with room for additional bedroom and bath. Market rent for 3BR apartments/homes range from $900-1,050 in the area. 3/2 is a rare find in the rental market.