Need some help analyzing a deal

[Daniel Highsmith]

Found a duplex and need some help with the numbers. I've been looking for deals on single and multi-family houses but i can't get the numbers to work right on any of them. At least i'm learning, right :) Am I overestimating the expenses? It seems like each property i try to run numbers for, the property can't cover the mortgage after expenses are taken out. What am i doing wrong? Any help is much appreciated.

Duplex purchase price is $140,000 which is not what i would pay for it. 

Unit 1 (2bd/1ba) - Rents for $700/mo

Unit 2 (2bd/1ba) - Rents for $600/mo

[Jon Raccah]

@Daniel Highsmith,

First, nice spreadsheet!

That being said you have some line items that shouldon't be there. Keep in mind that a proforma (that you created above) is meant to act as an income statement and showe recurring expenses not Capex type expenses (so closing fees, new appliances, etc wouldn'tbe included)

What your going to want to do is make 2 different sheets. 1 call sources and uses (or S&U) where you essentially outline where the money is coming from and what it will be used for. Then you create a proforma like you did above, but only with the recurring revenues and expenses. 

If you'd like you can send me a DM with your email and I'll forward you over one of my many spreadsheets 

JR