Premium Heated Storage/Business Condominium Investment

[Sam Webber]

Hey All! Fist post here,

I have been doing my homework on getting into my first investment property, the residential market near me hasn't gotten me too excited. I recently came across a new construction storage facility in Western Wisconsin that sells each unit individually. There will be a total of 36 units when complete, only 12 are done now. Each unit ranges from 120-125k per and four of them are currently renting out for $1050-1100 per month. I am wondering if this is something that is a good starting point to learn the ropes with, to build relationships, and eventually get into bigger investments. Any insight is appreciated. Thanks!

Here's the money break down...

Purchase price: $125,000 (5 year fixed rate balloon/20 year amortization, current rate 4.6%)

Down Payment: $31,250 (25%)

Closing cost: $1,000

Insurance: $450 annually

Property tax: $1,100 annually 

HOA: $100 monthly

Monthly rent: $1,100

Cashflow: $260 per month