What do you think about this package deal???

[Joshua D.]

Hello People, Just want to run this by folks to see what you think. 

Just want to tag a few to get your specific opinion, cuz you rock, and I respect your advise! 

@Steve Vaughan

@Joe Villeneuve  (I know you are not going to like all the cash I put in)

@JD Martin

@everyone else...

Looking at property number 7 and 8.

SFR 1 Bed, 1 bath, 800 sqaure feet, built in the 70's

Listed on MLS at 110k, reduced to 90k over the course of 1 year.

Smoker house!!! reeks bad. Other than that it is in excellent condition.   We are in negotiation right now and they have come down to 87k and just found out that that is their "pay off" amount. they are in early foreclosure. 

20% down (17k) conventional put my payment at $435 a month PITI  

Property will rent for $650 a month, after we clean up smoke smell, ($1000 paint and ozone machine) 

Not a killer deal as is but... NOW for the other part.

Property comes with an extra 50' wide city lot that is zoned for Manufactured homes. The lot is NOT developed and will cost another 10k-12k to bring utilities in and set up fees on a mobile. 

I believe I can get a good used mobile in our area on craigslist for 5k-10k, so for an extra 20k on this property it will add another $750 in rent. 

I have done this exact same thing before on another property. And it worked great. rented for $800

Cash invested 37k cash (sitting in the bank from a flip we just did) 

Total rent when done $1400

PITI payment $435

Property is 5 blocks away from where i live and i do all management and repairs while i still have less than 10 properties. 

Should cash-flow well and I can sell each property seperatly for close to 90k each when I am done. 

Boy it helps to type all this out, I feel like I already know that i'm going to buy it!  Thanks BP your the best! 

Anything I am missing?