Skip to content
×
Try PRO Free Today!
BiggerPockets Pro offers you a comprehensive suite of tools and resources
Market and Deal Finder Tools
Deal Analysis Calculators
Property Management Software
Exclusive discounts to Home Depot, RentRedi, and more
$0
7 days free
$828/yr or $69/mo when billed monthly.
$390/yr or $32.5/mo when billed annually.
7 days free. Cancel anytime.
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
Real Estate Deal Analysis & Advice
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated over 7 years ago on . Most recent reply

Account Closed
  • Rental Property Investor
  • Orlando, FL
51
Votes |
138
Posts

Potential First MFH Property

Account Closed
  • Rental Property Investor
  • Orlando, FL
Posted

Hi BP Community! This my first post. 

I'm looking at my first potential investment property. It's a duplex in a C class neighborhood.

Below are the expenses:

  • Purchase price: $94,000 (conventional financing 25% down w/ 5.375% interest rate)
  • Total Rent: $1,250 (both units are identical 2/1)
  • Taxes: $75
  • Insurance: $8.33
  • Vacancy: $125.00 (10%)
  • Repairs: $63.50 (5%)
  • CapEx: $63.50 (5%)
  • Prop. Mgmt: $125.00 (10%)
  • Tenant Placement: $52.08

Below are the income values:

  • NOI: $3,237.64
  • Monthly Cashflow: $269.80
  • CoC: 11.70%
  • How does it compare against the 2% Rule: 1.33%

The property has a new roof, new windows, new A/C in both units and seems move-in ready. It's about 80 minutes from my primary residence. 

What are your thoughts on this property? Is there something else I should be considering? Also, I'm a bit concerned with finding tenants in this area. I checked the local police stats site and this neighborhood has very low reported crime.

Loading replies...