Homerun (don't think so), good, meh or hard pass deal in Georgia?

[Manny Garcia]

BP Community,
After spending several months listening, learning and analyzing I am asking for a couple of minutes of your time to give me your opinion on the following deal (which would be my first one). Is it a homerun (spoiler ...I don't think so), a good, a meh or a hard pass deal? 

Description: Portfolio composed of 4 single-family homes on a flat population growth small town in the Columbus area in Georgia. 
Portfolio purchase price: $130,000 +6% closing costs
Portfolio repairs: $40,000 ($10,000 per house)
Financing: One loan for the 4 properties - 20% down @3.8% interest for 20 years
Total Monthly Rent: $2,050 (the four rents have stayed the same for the last 2-3 years. Not planning on raising them on the first year)
Insurance: 1.5% of portfolio purchase price
Repairs+maintenance: 5% of monthly rent
Vacancy: 6% of monthly rent
CapEx: 7% of monthly rent
Prop. Management Fees: 10% of monthly rent
......
Monthly Cashflow: $356
CoC ROI: 10.2%
......

1. As you can see I am running the numbers for these separate 4 properties as an combined portfolio (almost like a multifamily). Anything wrong with this approach?
2. Thoughts on my numbers? I've gone through this exercise for several properties but I could really use a pro's critique on my numbers.

Thanks so much for your help on the beginning of my journey!

Manny

[Malcomb Stapel]

@Manny Garcia just from a pure numbers standpoint 10.2% is a nice return. You also seem to have factored in a decent amount of safety in CapEx and maintenance. I have the following thoughts/questions.

1. Why not raise the rents in the first year? What do the numbers look like if you give everybody a 3-5% bump?

2. Factor in the age of the homes and really know what you need to pay attention to. At this price point a small oversight on your part will throw your numbers out really quick. For instance your $10,000 budget per home will be eaten up really quickly when you realize one of them has no water pressure and needs a complete rehab on the supply side of the plumbing.