Western Maryland Apartment Deal

[Matt Vaughn]

I'm analyzing a deal in Western MD, specifically Cumberland.  I haven't visited the building yet, but I have basic info for initial analysis: 

- (8) 2 bd rm units
- Purchase Price - $115,000
- Potential Gross Rent - $4000 (Units renting at $500)
- Old building, but supposedly new elec, plumbing, and windows
- I built out a Pro Forma for the property, which brought me to 60% expenses and a Cap Rate of 11.8%

A couple questions:

1. Does anybody have experience with Cumberland (an hour West of Hagerstown)? If so, I'd love to pick your brain.  I grew up 30 minutes from there so I have familiarity, but I currently live in the D.C. Metro area.  Cumberland is a town of about 40,000 population with a -3% growth since 2000.  It's a town in a rural area.  Any feedback or insights about rental properties in a town like this would be appreciated

2. I'm working on a live-in flip right now, but otherwise, this would be my first deal.  I would be located 2 hours from the property.  My numbers account for property management if needed.  Does anybody think this is a bad idea solely based upon distance and my experience?

3. Do these numbers look strong or do they scare anybody?  I can provide more info if needed.

Thanks in advance for your help, everyone.