Seeking advice for my first deal

[Carlos O.]

Hello everyone,

After a month and a half of searching I think I finally found something decent out near KC. This would be my first deal and I'm taking a conservative approach here. I would like to some feedback on the numbers below. 

The property I'm looking at is a 4/2 home. I've checked out CL and rentometer. CL shows nearby 3 beds at $750 to $800. So that's what I plugged in even though this is a 4/2. My agent mentioned that this house could rent for 900 to 1000. The house was build in the 50's, so I have $100 budgeted for maintenance and repairs. Purchase price is in the 60s, but I think I can bring it down into the mid 50's. The selling agent says the house needs "some updates" but is in good conditions. My agent will go take a look at this property to see what shape it's really in this weekend or early next week. Assuming the property is in good condition, what do you guys think of this deal? Is there anything I'm missing in the numbers? Any questions?

Another concern of mine is that this house has been listed on the MLS for a few months now. How bad of a sign is that in KCK? I think that if was a cash flowing property, someone would have bought it already.

[Curt Davis]

To receive cash flow in the amount of $42.00 per month is not good.  You should be targeting around $150-$200 when taking into account all your figures.  

Are you buying the place all cash then making the repairs needed?

Do you have a trustworthy contractor to make the repairs? 

Good luck