Is this deal to good to be true?

[William Huston]

Duplex: C area

LP: $104,999

2 x 2/1 w/ month to month tenants 10+ years both sides

Rent: $650/each

Taxes: $1140/yr

Insurance $860/yr

Units have own meters for water and electric

Roof 12 yrs old

A/C 1: 8 yrs old, A/C 2: 2 yrs old

HWH 1: 8 months old, HWH 2: 19 yrs old

I tried to run the numbers on bigger pockets, but the last page of the calculator keeps loading as an error for me. I did the quick 4 square math and the deal seems too good to be true... As a new MF investor i am just making sure i'm not overlooking something before i make an offer.

[Darius Hollis]

@William Huston

Make sure you get a great inspection, look into the tenants payment history and long-term prospects to make sure they consistently pay on time and also verify every detail the seller presents to you. Also think of the worst case scenarios to protect yourself:

Is the property or area improving? What is the annual appreciation looking like? Would you be able to replace the tenants if they suddenly moved on? 

There are a lot of considerations to take into account, especially investing in C areas. 

Best of Luck!