Steel Frame Multi-units

[Miles Clark]

Hi everyone,

I have an opportunity to purchase a steel frame duplex(New Construction) in Kansas City. I currently do not own any rental properties but I know that I want to buy and hold multi-units. I am looking for anyone that has knowledge regarding steel frame homes. Are they better? Will I run into less problems down the road with major fixes because its a new construction? Also if anyone is familiar with the market in Kansas City? This deal is through a friend of mine that runs a property management company and he is expanding into developing. The land that the property will be built on comes with the deal.(He has been buying parcels and subdividing the parcel.) Any and all comments will be greatly appreciated. Thanks everyone

Deal info is as;

$90,000 Steel Frame Duplex

20% down

Gross Rent Income $13,200

Mortgage $4,260(annually)

Property Mgt $1,320(annually)

Prop. Insurance $960

Net Income $6,000

ROI on the Down Payment is 33%?