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Updated over 2 years ago on . Most recent reply

[Calc Review] Help me analyze this deal
*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

@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