My first two deals in the Motor City

[William Ware]

I would like to get your feedback and ask a few questions about my first two deals..in metro Detroit.

Deal #1
2/2.5 townhouse with 1550'
1 car garage
Built in 2005
Sold new $140,000
Paid $50,000 cash
HOA $130
Painted, new appliances - $3000
Rented with 1 year lease at $1100/month

Deal #2
2/2 raised ranch townhouse with 1100'
1 car garage
Built in 2005
Sold new $118,000
Paid $20,000 cash
HOA $130
Painted, new appliances, floating floor - $3000
Rented with 1 year lease at $825/month

I do my own property management

Questions
- What are your thoughts?
- I would like to try to leverage these properties to purchase additional deals....but no luck with the banks...options?
- should I form a LLC? why?
Thanks for your help

Bill

[William Ware]

Thanks for all of the feedback. I never thought to look at HOA fees as a negative. I looked at them as a positive that I never had to worry about grass cutting, snow removal and other outside maintenance. But that's why I'm here to learn from other investors.
Scott..my properties are in the downriver area. As far as my next purchase..I'm looking for a multi-family or SFH..