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Updated over 7 years ago on . Most recent reply
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21 Year Old Needs HELP
Im 21 years old going to college. I have one property and looking to buy a duplex. Here are the numbers. Keep in mind the sellers are divorcing and forced to sell.
- Asking $100,000
- 2,080 Square feet
- New roof
- Tenant occupied
Rent is now $975, will be raised to $1,070
Now the hard part. I have offered 80k, but it will take 85k to buy it. I dont have the down payment. My grandmother will loan me the down payment. My numbers the first five years while repaying her will look like this.
- Mortgage $350
- Down Payment $330
- Expenses $372 ( Water, Taxes, Insurance, Vacancy, Repairs, etc...
I will cash flow $20 month (absolutely nothing for 5 years)
But in 5 years I will have $45,000 in equity and be cashflowing $500 month.
So is this deal worth pursuing or should I just leave it alone?
Thank you for your time and I appreciate your advice!
-Jessen