Flip with Tenant or without?

[Braner Dantas]

Hello guys, 

I'd like some advise from those that have experience with this type of flipping.

About two months ago I purchased a property from a tax deed auction near Orlando, FL. The rehab is going to be ready in about 10 days. 

This is a 2 bedrooms with 1.5 bath really close to two universities (UCF and Full Sail University). I have done a full rehab (new flooring, tiles, appliances, paint, etc). 

My main goal with this property would be to flip it after I have placed a tenant there, mostly because I own a property management company and could keep managing the property and turn this into a turnkey investment for the investor. 

However, I don't want to be proactive and place a tenant and then find out that this property was much more suited for an owner to live in once everything is brand new. 

Some number for you to understand:

ARV: $105.000

Rent: $1.250

Hoa + taxes+ property management + insurance: About $540

Net Income: $711 monthly or 8.14% yearly.

What do you guys think?

[James Wise]

Originally posted by @Braner Dantas:

@James Wise It was based on sold comps on the same condo. Few people bought even a little outdated unit and was able to rent for 1,250 and one got 1,300. 

I liked the advise @Frank Wong gave about leveraging my company to help but don't put the tenant in.

Thank you both!

 Were the sold comps occupied or empty? I suspect that price point is an owner occupied price point. It doesn't look like it's going to stack up as a rental investment at that price. That's what you need to determine & then you'll have your answer.