Seeking Advice: pursuing my 1st Triplex in Tampa, fl

[Luis Pereiro]

Hello BP. I'm seeking advice on purchasing a Triplex. This is my first multifamily and having trouble figuring out what is my MAO. Owner says it is worth $150k but she will not provide an appraisal. Honestly, I think she is going off property appraiser which values it at $154k. I'm thinking I need to get closer to $100k though considering the amount of repairs.

Breakdown:

All units are rented but much below market value (they are rented to family & friends). There are no existing lease in place. So part of the purchase is that all tenants would need to move out by the time we close. They will have 2 months since I am using a 203k FHA loan. This fair?

Units are all similar. 1 bed and 1 bath 720sf

Loan Terms: 3.5% down, 4.97%, 30 year fixed (estimate PMI at $85/mth)

Fair Market Rent - $750 per unit (includes Water and also considering including TV)

Repair - $35-45k  - triplex needs a whole makeover, they were not maintained. The big items is adding parking spots. Currently parking on grass & gravel. Maybe 2 per unit. New roof and re-frame to install A/C and ducts. Using window units. Install electric meter to each individual unit. Currently only 1 electric meter. Fully remodel interior of 1 unit. New flooring in other 2. 

Utilities - seller will not provide me their utilities bills so I am estimating. The property is on septic, so I assume the water bill won't be over $100/mth

Taxes - currently at $3555, $296/mth. But this will go down next year once I apply for homestead

Home Insurance - $1398/yr

Flood Insurance - home is in a flood zone but the building is elevated. Insurance agent can't provide a quote till I get an elevation certificate. I am estimating $650/yr just to be safe

5% vacancy - $112

5% repairs - $112

Hope this helps. If I'm missing anything, please let me know. Thanks so much for your time and feedback.