College House - Is this a good deal?

[Robert Lindsley]

Hi there!

I'm thinking about buying a college house and wanted to verify it's a good deal and it could get financing. My biggest concern is that the property is not being offered at a discount -- it's being sold at market rate. Hopefully the ROI will counter that and let me build equity quickly.

Here are the details:

$319k (with an ARV of $319k)
15 bed / 6 bath
Gross rent: $9050/month
Mortgage: $2799.45 (100% financing at 10%)
Total Operating Expense $3849.33/month (Maintenance 17%, Vacancy 7%, tax and insurance included)
Monthly Cashflow: $2401.21

If you have any thoughts on this property, I'd love to hear them.  I've never bought a college house before, but at first glance the numbers seem to be great.

Thanks!
Robert.