Help me evaluate this deal

[Shari Posey]

I don't know why I'm stuck on this...a bit of paralysis I think.

I'm looking at a $200,000 4-plex in a below average area. Not gang infested but the neighborhood isn't really kept up. Also, not a lot of comps in the area either.

All units are tenant occupied--total rent $2700 (3 of the 4 are long term renters)

Property taxes are really high because there's a sewer payment. The regular property taxes will be $208 per month PLUS the sewer bond payment is $281 per month. (The sewer payment is for $31k at 4% variable rate until 2035 but can be paid off early.)

Other monthly expenses include:

Insurance $100
Gas $80
Gardener $100
Water/sewer $100

We would be financing on a 15-year loan at 4.1%

This would be a buy and hold investment to use for income in retirement.

Expenses seem too high to me, although the sewer payment will eventually go away. What do you guys think?