First time home buyers, torn between two properties

[Joshua Lupo]

Hi All!

My fiance and I are first time investors and we are looking to FHA house hack a duplex in Albany, NY. Currently we have two properties in our sights and are torn on which we should go with. Details on the two listings are below:

Property 1: Off market (our agent realtor is also seller agent..thoughts?

6 bedroom, 2 bath

List-199,900

Current rents-1050

Taxes- 7200/year

PITI-1750

Great condition and newly remodeled bathrooms,bedrooms and kitchen. Roof may need some work and there is a 2 car garage in terrible condition that might need to be torn down to make room for tenant parking spots.

Property 2: On market 90 days

list- 199,900 (considering offer of 178k)

Taxes- 5400

Rents-975

PITI-1600

Good neighborhood but further from colleges and down town area than property 1. outdated building, black mold in attic needs to be removed, basement is in rough shape and needs to be overhauled. Smaller bedrooms and kitchen, bathrooms need to be remodeled.

Long and the short of it, 1 is in better condition but not as nice of a street and 2 is outdated and needs to be remodeled and we feel like we could get in at lower price given comps and time on the market 

Any help or recommendations would be greatly appreciated!