First Duplex-Need Help with Eval

[Robert Fuhs]

I am looking at purchasing my first property as a buy and hold. My realtor has a duplex in a suburb of Minneapolis that he's going to list at $259,900. It's not on the market yet as he's given me first dibs.

Here are the details:

-Asking $259,900, but I'd like to get it for 250K

-Currently has one side occupied by a renter. Rent is $1150 per month. Other side is vacant now. I think I could get $1150 for both sides for a total monthly rent of $2300.

-I'd put 25% down and finance 187,500. Not sure the percentage, maybe 5%? At 5%, P/I=$1007/ mo

-Other expenses:

Taxes=$340/ mo

Insurance=$150/mo (estimate)

Vacancy=$192/mo (8%)

Management= $230/mo (10%). I live out of state so this is necessary.

Upkeep and repairs=$100/mo. This is an estimate. Maybe too low? I'd probably have the tenants take care of snow, but hire out the lawn care. Units seem to be in good shape.

Cash low=$281/ mo; $3372/year.

ROI= 5.3%

CAP Rate= 6.1%

I know it's not great, but for my first one, it looks promising to me. So, what does the crowd say?