[Calc Review] Help me analyze this deal, West TN

[Brandon Thurman]

Looking for any insights and opinions to help with our final decision on whether or not to close on a couple of duplexes. My wife and I (rookie investors, 5-10 deals) had an offer accepted on 2 duplexes from the same seller. We are now only a couple of days away from closing on the first duplex and found out that our property taxes are increasing & a new city waste disposal fee is coming in 2023.

Since the purchase of these properties will take a lot of our cash reserves, we are looking for any opinions from others on if this deal is worth the trouble. We understand that this is not a "home run" deal, but it has several benefits as being local, located in Henderson, TN only a couple of houses over from another single-family rental we own. It is also in a good community with a local, private University. Location is good.

Linked below is the analysis of the duplex that is going to close in the coming days. Any insight would be appreciated!!

View report

*This link comes directly from our calculators, based on information input by the member who posted.

Pros -  1. Local. Located next to another investment.  2. Solid brick home on slab 3.  Existing long term tenants

Cons - 1. Large cash down payment 2. ROI under 10%  3. 6% interest rate