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Updated over 5 years ago on . Most recent reply

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Jonah Walker
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First Time Investor- Is this deal worth pursuing?

Jonah Walker
Posted

I found a property listed on Zillow at an asking price of $179,999. It is a duplex with one side being a 3/2 and the other a 2/2. The building has a new roof, Installed in 2017, One side of the duplex has been remodeled and the other is in good shape. Both side are currently occupied and according to the landlord, they are great tenants. The rent he is currently collecting is $2,035 combined. The property was initially listed at $229,000, but has clearly been reduced since then. It has been sitting on Zillow for over 150 days, so I am sure I can get the price down even further. The thing is, this property is across the state and I am unfamiliar with the location and I haven't even looked into securing a loan yet. I was just practicing what I learned in Brandon's book and came upon what I think is a good deal. According to the analysis calculator my CoCRoi would be about 12% if all things are accounted for. Being a first time investor, I'm just a little unsure as to what I may be forgetting. Any advice would be greatly appreciated! Thank you!

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Greg Dickerson#2 Land & New Construction Contributor
  • Developer
  • Charlottesville, VA
4,399
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Greg Dickerson#2 Land & New Construction Contributor
  • Developer
  • Charlottesville, VA
Replied

@Jonah Walker the numbers look good depending on operating expenses and taxes and insurance. Also make sure to check the area and location for crime and schools etc 

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