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Updated about 5 years ago,
Assistance requested on deal analysis
Hello -
I am looking for some assistance in reviewing the financials for a 10-plex deal in Oklahoma City, OK.
What am I missing? Is this deal worth pursuing?
Details:
Sales Price: $750,000
Seller Offer: $5,000 in closing cost
Class: B+
Rents: $7,695 (100% Occupancy)
Repairs: $12,425 (Immediate)
$36,000 (Future - Furnace replacement)
Property Management: 8% of rents
Taxes: $9,000/yr
Insurance: $6,000/yr
Financing Terms: 20% down, 30 years, 7%
Monthly payment: $5,241
Annual Rents: $92,340
Loan Repayment: $62,892
Property managment (8%): $7,387
Vacany (10%): $9,234
CapEx (10%): $9,234
Net cash flow: $3,593