Would you buy this 4plex?

[Chad Adams]

Total Monthly rents = $2,150
Asking Price = $200,000
Yearly taxes = $950
All units are 2 bed 1 bath.

Rent is slightly below market, could be raised $40-50 per unit.

1960's construction, hard wood floors, brick exterior, new HVAC last year, seems to be in overall good condition (no deferred maintenance to speak of). It was built as a 4-plex, it is not a converted house.

All units are separately metered for all utilities except trash (owner pays). Also there is a light pole over the parking area that the electric is paid for by the owner.

Owners are out of state and seem motivated.

Over all the neighborhood is nicer, but right next door there is another 4-plex (studio apartments) that is in very rough shape (sold 2 years ago for $45,000).

I'm estimating expenses as:

8% vacancy
8% Maint & Repairs
10% Property Mgmt (though I'll do this myself)
$950 yearly taxes
$613 insurance (I'm estimating that using this calculation = Purchase Price / 1000 * 3.5), but the result seems a little low to me, can't remember where I found that formula, perhaps here on BP?

I'm estimating I can purchase the property for $175,000-$185,000.

What am I forgetting?

Based on a $175,000 purchase price AND the expenses above AND not raising the rents AND 100% financing @ 5% for 30 years (though in reality I'd be putting 20% down), I show a cash flow of about $130 per door ($521 total) per month.

This would be my first investment property.

Thanks for any advice/guidance you can provide.

Chad