What purchase price would make this BRRR strategy a good deal?

[Dolores Waldron]

Hi BP Members,

Here is BRRR analysis report and I'd appreciate any feedback on it.

2 family property.

Asking price was 175K cash but owner has come down to 125K cash

ARV is 220,000

Repairs $60,000

2 x 2 bed units will rent at $650 conservatively

I have done an analysis using Hard Money to do a cash purchase at 125K and 3 month rehab and then refinancing after a year at 70% of the ARV of $200,000.

I need to get a better grip on my purchase and closing costs so they maybe off - if anyone would like to advise if I can use a % on that?

Anyway, at this price the deal still doesn't seem to make sense.  What purchase price would make this a good deal and why? I appreciate any advice, still getting a handle on understanding these reports and what would makes a good deal.

https://www.biggerpockets.com/calculators/shared/7136/cf8f7ae6-5a6e-438d-8e0c-a135b10f27a2  

Thank you for any advice.

Dolores