Decent deal?

[Daniel Pena]

I am looking to pick up my third rental property but been having a hard time finding a deal to cash flow and give me good cash on cash returns. I just found a deal on MLS where the sellers are motivated due to having to relocate to another city. They have lived in the property for 20 years and looks like it's in decent shape. Anyway here are my numbers. Purchase price $65,000 Down 25% Loan 15 yrs @ 3.125 (also no closing costs) Rent $900 Mortgage $340 Taxes $133 per month (taxes kill my numbers) Insurance $50 Vacancy $90 Repair $90 Management $90 Cash flow per month $107 A couple things to note are that with some updates arv is about 115k. I am a buy and hold guy, I do not need the cash flow to supplement my income but I also don't want to lose money or have terrible returns. Last thing is I do my own management so it helps me cash flow more but I always count it in my calculations.

[Andrew Syrios]

Cash flow looks pretty solid to me. Although a few questions; 1) What kind of updates are necessary to get it to an ARV of $115,000 and how much will they cost? And 2) That is a very attractive interest rate, are you sure you can get it?