4 plex ---DEAL OR NO DEAL??

[Jonatas Silva]

Would you do this deal.

This is a 4plex.

Details

4 units. Each unit is 2 bedrooms and 1 bath and around 650 sq ft each. There are 2 buildings each with 2 units. Total building sq footage is 2576 sq ft on a 6600 sq ft lot.

All the units have been remodeled in 2017 with new roofs, electric, plumbing, paint, sheetrock, flooring, kitchen and bathroom updates. All 4 units are practically brand new.

Numbers

Asking Price - $190,000 OBO

Current rents - $925/mo per unit (under market and can be rented section 8 for $1050/mo)

Total Rents per month - $3700

Average electric bill for the past 6 months - $450/mo

Average water bill for the past 6 months - $100/mo

Insurance - $1500/year

Taxes - $1500/year

Current Total rents/year $44,400

Current Total expenses (insurance, taxes, utilities) - $9,600

Current Net operating income $34,800

Total rents/year fully occupied - $44,400

CAP Rate full occupancy - 18.3%

I negotiated down to $175k

Thank you in advance

[Account Closed]

Is this in a D class neighborhood? Even if it is, I would love to find that here.