My first 9 Unit: is it a GO or NO GO

[William Moya]

Any feedback would be awesome, what am I overlooking? Good or Bad. Thanks in advance!

I have this property under contract and my inspection period ends today.

Purchase price at $525,000, 

Rehab Estimate $200,000 to $250,000

I have a cash partner & I will do all the work (Manage the Rehab, Property Management and Market to resell when complete.

Please see image below of numbers breakdown. 

Any feedback will be greatly appreciated. and if in the future you would be interested in partnering in a deal similar to this please let me know. 

Happy Investing!

[Evan Polaski]

@William Moya.  I am assuming you are talking all cash purchase and rehab, since there is no line item for debt service.

I do not know FL, but 5% operating expenses seems excessively low, especially when you have no line item to real estate tax at $525k or insurance.  

From there, you will have turn costs, likely in the $250/door/year range, but could be higher or lower.  You have no line for leasing commissions, typically 1 month rent when you outsource.  Landscaping, house meters, etc.

I would just really dive into your expense budget.