Finally found a deal! Need advice

[Anthony T.]

Hello everyone!

Finally, I believe I have found a deal that the numbers make sense.

This is a off the market single family home that was inherited to a family member.

Its in the City of Westland MI. 48186 (Shack town)

Single family

2bath 1 bath Sq. Feet: 1,218

2 car garage

Cost - $45,000

Rent should be $700-800

Needs - Paint and carpet.

The home is much nicer than 95% of the homes in the area.

This really looks like a good spot for me to get my feet wet.

I dont think im over looking anything. 

I ran the numbers and im coming up with an ROI of 42%?

That seems way too high but, I dont know what number im plugging in wrong.

Taxes have been $800 annually for the past 8+ years.

and I have 1300 in for the insurance.

Down payment of 20%

One thing that she did mention to me is that they have a quit claim deed on the house.

What exactly does this mean for me and what extra steps should I been taking?

[George P.]

Not all of 48186 is shack town. 

I have 40 total,15 of them are in westland. I'd never buy in shack town. Ever

[Anthony T.]

Originally posted by @George P.:

Not all of 48186 is shack town. 

I have 40 total,15 of them are in westland. I'd never buy in shack town. Ever

I understand not all of 48186 is shack town. That is why i figured id mention it.

Why would you never buy there? I understand its a D class neighborhood but if the numbers make sense, they make sense, right? 

Really looking to make the right move here so any advice is appreciated. 

[George P.]

Because I want high end tenants. I want people with jobs. I have tenants that earn 150k. You combine 400 people in shack town and they collectively don't make 150k.

[Anthony T.]

Originally posted by @George P.:

Because I want high end tenants. I want people with jobs. I have tenants that earn 150k. You combine 400 people in shack town and they collectively don't make 150k.

You're just saying this isn't your cup of tea... Fair enough. 

[Anthony T.]

This is a FSBO. I also dont have a agent either.

How will this process play out?

I plan on asking my lending tomorrow. It would be nice to have some idea what im talking about before I speak with him.