Newbie realistic expectations?

[Stephen Olender]

Hi everybody,

I’m planning to start a real estate business with one of my good friends. He’s been a landlord on several multi-family units. He has the practical experience and I’m more of a numbers guy. 

I have an idea on a property that we could go in on for our first rental and I want to see if you all think I have realistic expectations. 

Subject property is a SFH. That was a former duplex. It has an estimated value of 216k and is listed for 208k. The property has a tenant in place at 1800/month. Seller is looking for a cash buyer (proof of funds) and stated property as is.

My plan would be to go in at 188k. Use a hard money or a private lender for 30 months at 30 year amort. After showing 24 months of rent, refi to a conventional. 

Are my expectations anywhere close to reality? What am I missing ( or at least haven’t told you) that you might need to know to be interested in this kind of deal?

Thank you