Analyzing deals to contribute back to the community

[Charles S.]

Hey guys.So I am currently in that space where I’ve been reading books and listening to podcasts but I am still about a year away from my first purchase (at least 6 months).To make a long story short, I’m cleaning up a mess a younger me didn’t realize would put a monkey wrench in the plan my current self has created to help me achieve financial freedom.

With all the knowledge and experience everyone has been sharing, I've been feeling like I wanted to contribute to the community as well.But how does someone with no experience contribute to this wonderful community?Well because I could not commit to acquiring my first property with the remaining time in the year, I've committed to analyzing 2 deals a day to post on the forums here.It will allow me to gain knowledge and advice from experienced investors and also give other investors like myself (or soon to be investors I guess) an opportunity to contribute as well.Even if they haven't done any deals, they may know how to avoid common mistakes while analyzing that they've learned since they've started on their path to REI.

I know it may not be much, but I’m really hoping that others in my position feel inspired to contribute more than the normal “Hi I’m a new investor looking to learn from everyone here on the site” and those more experienced are still willing to share their experiences.

Thanks everyone.

With that being said:

Property #1

2-unit Property in Queens, NY

Each unit is a 2br/1ba

Anticipated gross rents: $3.8k/mo

Operating expenses (per month):

- Vacancy: $190

- Repairs/Maintenance: $35

- Taxes: $300

- Insurance: $133.33

- Property Management: $190 (did this at 5% of gross rents because I can manage the property myself but I’d like to set aside a portion in case it makes sense to transition to management).

-CapX: $190

List Price: $400k

Desired Purchase Price: $380k

Downpayment: $76k

Anticipated Rehab: $10k

Closing Costs: $4k

30 yr loan @ 7% ( the middle ground between FHA and hard money)

Total Cash out of pocket: $90k

Annual CF (before taxes): $8,269.80

ROI: 9.19%

So the insurance, repairs, closing costs, and rehab costs are all estimates.I tried to get as close to actuals as possible though.  Also there may be an opportunity for an unfinished basement as well.

Please let me know what you guys think.I’m open to all advice and criticism.

Thanks BP!