Analyzing my first potential deal!

[Naeem Kapasi]

Hey guys, need some advice from the community. I am looking to buy my first deal which I will be living in for a year.

I have found a FSBO in the neighborhood that I am looking at in Houston.

It is a 4bed/2.5 bath, 2250 sqft single family home.

I have looked up a few numbers.

Appraised Value: $134,000 (HCAD)

Total Market Value: $142,000 (HCAD)

Taxes are about $220/month (HCAD)

Mortgage Payment: $610/month (used zillow mortgage calculator)

Insurance; $100/month

Others (HOA, WSG): $50/month

Vacancy: $160/month

Cap.Ex: $160/month

I do not know anything about repairs on this property as I have not seen it, but considering it is built in 1978 and the current owner has been there since 1999, it will need quite a few updates.

Conservative Rental Income: $1600/month (Trulia.com)

Cashflow: roughly $300/month

The only things I am a little concerned about is:

- Elementary school is a 2 out of 10 on Trulia (Middle school 5/10 and High school is 8/10)

- Not a very big back yard, still ok sized, but not a lot.

Any feedback would be appreciated :)