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Updated over 1 year ago,
Rental Deal Analysis: Rochester New York 4-Plex
Hi all,
I would like to get your thoughts on some rental numbers:
Location: Rochester New York
Built: 1895 (recently remodeled roof, electric, appliances, windows, etc.)
Sale Price: $247,500
Property Tax: 8,300 per year
Interest Rate: 6.875%/ 30 yr.
Units: 4 units (2 bed, 1 bath each)
Sqft: 5274 sqft.
Projected Monthly Gross Rental Income: $4,000 (1k per unit)
Vacancy: 5%
Monthly Operating Expenses: $1,600
Monthly Cash Flow: $1,002
Appreciation: 2% per year
Income Increase: 1% per year
IRR at Year 5: 20.2%
CoC Return at Year 5: 18.7%
Equity Multiple at Year 5: 2.07 (3.68 at year 10)
Looks good to me, but anything else that we should look at?
This is pending a good deal on insurance, because a 7k per year policy kills the cash flow.
Hoping the high taxes/insurance provide a nice write off.
Any thoughts appreciated! :)