First Duplex opportunity - Please analyze - Buy and Hold

[Michael Baradell]

Hey guys,

I have an opportunity to purchase my first duplex. I would like to see what the pros think of the deal.

Breakdown:

Purchase price $150K. Seller Financing Monthly payment around $1,350

Rental $900­ and $950 month

Average Electric $84.00­$109.00

Gas Available/Optional

Sewer & Garbage $$80.00

Taxes

2010 $1465.00

2011 $1473.00

2012 $1470.00

Tax assessed value $170,081.00

Insurance

Home Owners $1800.00

Flood Insurance $1900.00

[Chris Volkers]

It looked to me like the insurance and taxes must be included in the financing payment... 

$150,000 @ 6% 30 yrs would be a $900 payment

($1470 + $1800 + $1900) / 12 = 431

$900 + $431 ~ $1350/month

Is that where the number came from?