4Plex Deal

[Chris Herrera]

Here's the info, let me know what you guys think

PP 360k 5K closing credit FHA

Rent: 950

Mortgage: 1865

Taxes 5440                         

Vacancy 2,280 (5%)

Insurance 2400

Maintenance 2,280 (5%)

Utilities/PMI 3000 ( Tenants pay their own utilities)

Reserves  2,280 (5%)

Monthly Cashflow

W/Management $81    W/O Management $460

I know it's not a great deal when the place is managed, but since I'll be living in 1 unit for the 1st year I plan on managing it myself for a bit. I'll only pay a property manager once I get to the point where I'm starting to scale and want more of a passive role. At that point I might sell the unit after making however many years of cashflow or try to sell the units as condos as the surrounding area has a lot of townhouses/condos. The property also has a garage so I might charge extra for the people who want to use it and maybe storage space in the basement as well. What do you guys think?