First deal - Help me analyze...please

[Braden Hobbs]

I'm contemplating putting an offer in on a SFH that is split into a front/back duplex. Each unit has 2bd/1ba and a garage. Let me know if my math looks correct or if I'm blatantly forgetting something please. I plan to put in an offer where my Cash on Cash is above 11% but here are the numbers for sellers initial asking price.

Asking Price - $199,000

Expected Rent - $900 a month per unit(guessing low)

Taxes - $55 a month

Insurance - $100 a month (guessing here)

Vacancy - 8% per unit - $144 a month

Repairs - 5% = $45 a month

CapEx - $200 a month (30+ years old)

PM - 10% - $180

TOTAL EXPENSES: $724

NOI = $1076

CASHFLOW = $266 A MONTH

ROI = 3192/42000 = 7.6%

Thanks!