First investment rental property

[Yuriy B.]

I have recently graduated college and thanks to to all of the great people on here I am convinced real estate is the answer to a better life for me, meaning I could live comfortably from rental income when I have around 10 properties. I would like to start out by purchasing a single family home in the 100k-120k price range. As of now I am trying to save around $20k for a down-payment on a house in this price range. I am 25% of the way there and I feel that in a year I will have saved enough to place a down-payment. I have found a 3 bedroom home which is about 8 minutes from Cornell University and close to other schools. The seller is asking for $110k. I dont know the condition of the house but from the pictures it looks like it is in good condition. Three bedrooms homes rent for around $1500 a month in Ithaca, so that is the number I think I will be able to rent it out for. Because of a very large college student population the area has a vacancy rate of close to 0%. Below are some numbers I quickly estimated to see if this is a good investment. I realize that the property is going to be sold by the time I have enough saved to put a down-payment but I am just doing my research for now and trying to become good at analysis.  What do you guys think?. Is this a good investment?. Also is it accurate to assume that as a first time home buyer I will need to put down 20%?. I wish i could provide more information, but this is all I have as of now. Thank you all and I look forward to getting advice on this investment and any type of rental property advice!

Residential Income Property Analysis

Property Assumptions

Purchase Price$110,000

Down Payment$22,000

Loan Term15 Years

Interest Rate4.00%

Principal & Interest Payment$651

Closing Costs$0

Gross Scheduled Income (GSI)$18,000

Vacancy Rate7.00%

Number of Units1

Pro-forma Income Statement & Cash Flow

Gross Scheduled Income (GSI)$18,000

Less Vacancy$1,260

Total Actual Annual Income$16,740

Other Income (Laundry, Late Fees, etc.)$0

Gross Operating Income (GOI)$16,740

Annual Opertating Expenses

Accounting$300

Admin/Bank Charges$0

Advertising$0

Electricity$0

Elevator$0

Gas$0

Landscaping$0

Legal$200

Maintenance & Repair$2,000

Payroll taxes$0

Permits and licenses$0

Pest control$0

Pool$0

Property Insurance$440

Property Management$0

Real Estate Taxes$3,850

Security$0

Telephone$0

undefined$0

Tenant buyout$0

Trash$0

Water$0

Other$0

Other$0

Total Operating Expenses$6,790

Net Operating Income (NOI)$9,950

Annual Debt Service (mortgage payments)$7,811

Before Tax Cash Flows (BTCF)$2,139

Key Operating Ratios

Capitalization Rate9.05%

Cash on Cash (COC)9.72%

Gross Rent Mulitplier (GRM)6.11

Net Income Mulitplier (NIM)11.06

Debt Coverage Ratio (DCR)1.27

Expense Ratio (ER) Per Unit40.56%

Price Per Unit$110,000

Here is a link to the property:

https://ithaca.craigslist.org/reo/4827978957.html