First buy and hold purchase

[Adam Stanton]

I have a 3/1 cape style in Richmond Va that I think may be a good buy.

Asking 65k, but I talked them down to 55k.

Rent in the area, according to CL and rent range is about 775 - 825.  Renter pays gas and electric, I pay water and sewer. 

House is turnkey.  Minimal repair cost needed, if at all.  

House is great, block is OK, but two blocks away is not so nice.  This is my risk.  Can I get a better than horrible renter in a neighborhood that is OK but near a shady area.  

CoC with 25% down, 10% vacancy rate and doing my own PM is 27%. I know you all are going to say that's insanely high and I must be missing something. Even if my rent speculation is wrong, I know I can get $550 (one percent rule). That still gets me a 14% CoC return.