Possible Deal

[Ron Cornwell]

Let me know if this is not enough information, I copied what i had seen on another post.  I am converting an owner occupied 3/1 to a rental.  I expect it to take 2 months to get my initial tenant.  I have a signed contract, but left a 'subject to inspection' in it as an out, if i change my mind in the next 2 weeks.

Property: 3 Bed/1 Bath, Built in 1880, ~1400 SQFt, Zip 52060

Expected Rent: 650

Estimated Maint: 50

Estimated Vacancy (Year 1): 112.5

Estimated Vacancy (Year 1+): 19.5

Taxes: 109.5

Insurance: 56.5

Financing:

Sale Price 55,000

Conventional 30yr, 4.5%, no points, 15% down

[Darryl Shelton]

As far as the financing aspect i would say those are agreeable terms, would be less then 10g down, and depending on what your closing costs are you would be looking at approx 46k note. Payments would be around 240 a month on the note. Take away tax and insurance and your NOI would be approx $2900.

Please note that the prime rate will possibly raise .25-.50% there is a meeting in the end of July to address the raise, so you may want to brace and account for such a rise in your decision making