First Investment Property Evaluation

[Steve Cook]

Hi guys,

I'm running the numbers on my first investment and wanted to get your thoughts. It looks like a great deal to me from a numbers perspective. I'm a buy-and-hold investor and am not concerned with appreciation. This is a turnkey property and I'll be conducting reference calls with some of his other clients and talking with the property manager. For other turnkey and out-of-state investors, what other steps have you taken to mitigate your risk from a distance?

Details

Location: Indianapolis

3 Bedroom / 1 Bathroom

Completely rehabbed in 2013, list of renovations include:

New decking, new roof, all new joists, insulation, drywall, all new plumbing, all new electrical, new exterior siding, new flooring in all rooms, new kitchen cabinets, new kitchen counter tops and sink, new shower/tub & surround, new vanity, new toilet, all new light fixtures, new tile flooring, new carpets, new doors, new paint in all rooms.

Financial Analysis

The property is currently leased at $775 for 1-year. I've also assumed $2,500 for closing costs. I'm not sure if closing costs are typically included in cash-on-cash, so I've included that metric with and without closing costs.