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Updated over 2 years ago on . Most recent reply

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6
Posts
1
Votes
Catherine Davis
1
Votes |
6
Posts

[Calc Review] Help me analyze this deal

Catherine Davis
Posted

View report

*This is the first BRRR that I have estimated and I am not sure that I've entered everything correctly. Could someone give me some feedback to help me analyze this deal? 

Thank you so much!

Catherine 

Most Popular Reply

User Stats

135
Posts
86
Votes
Tanh Truong
  • Investor
  • Cincinnati, OH
86
Votes |
135
Posts
Tanh Truong
  • Investor
  • Cincinnati, OH
Replied

@Catherine Davis my first thoughts are your acquisition closing costs seem low at $1500. It may be area dependent, but I'm used to ~$3-4k. It also looks like your capex, vacancy, and repairs budget are low. Even being aggressive at 5% for each probably wouldn't cut it, but it also depends on your area. Typically, I'll bake in about 8% vacancy, 10% repairs and 10% capex. As for management, this depends on your relationship but 8-10% may be adequate. With that being said, I think this property may be better to flip versus BRRR'ing. Hope this helps

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