Cash On Cash Returns in Memphis THIS good too good to be true??

[Jon B.]

I've read in numerous areas that Memphis is a great city to invest in for rental cash flow properties.  While browsing thru some properties, I must say: Wow

As a New Yorker where $2,000-2,500 rent is common, I'm shocked to see that just a couple months rent will cover a years worth of expenses in a multi-unit property in the Memphis area.

My question is.... Is a deal like this, too good to be true??  

While browsing, I saw a property that seems to have over 100% cash-on-cash return.  
Here are the numbers.

List price: $30,000
Down payment (25%): $7,500
Mortgage: $108/month - $1,296/year
Taxes: $1,684
Insurance: $750 (estimation)
Lawn: $500
TOTAL: $4,230

This property is a duplex and is currently rented for $700 per unit.
Rental income: $16,800
Budget 30% for property management, vacancy, repairs, cap ex will leave with,,
$11,760

$11,760 - $4,230 = $7,530 yearly cash flow on a $7,500 down payment

$7,530 / $7,500 = 100% COC!