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Updated over 8 years ago,
duplex analysis - deal/ no deal?
Hey BP I'm just getting my feet wet and I have found a property that I would like to make an offer on but would like to run it past the BP community.
I'm trying to determine if the deal i'm looking at is any good, and if I would be wise to pull the trigger with offering more than ask
My analysis came back with $53/mo cash flow
Details below:
Its located in West Fort Worth Texas
2bed 1 bath duplex
built 1984
laminte and carpet flooring
currently leased:
unit A: $675 , B: $725 (tennants have been in place 3+ years
they are asking 135,000
there are multiple offers
My realtor is suggesting I offer 140,000.
I ran the numbers using the analysis tool and used the following assumptions
30 year
20% down payment
4.4% interest
8% vaccancy
7% maint
10% cap ex
0% Prop Mgmt
Which returned a $53/ month cash flow