Thoughts on this deal in upstate New York

[Christian Nachtrieb]

Looking at a property in upstate New York, it's a 3-family building just outside of Albany in a pretty good up-and-coming part of town. The 3 units do need a little love, some new paint, removing carpets, cleaning, drop ceiling touch ups, new vanities in bathroom, etc. This is why the CapEx budget is so big for this first year.

**All units are currently rented. Once updates, repairs, and cleaning is done, aiming to rent annually at $34,000 - 36,000.

Here's the numbers:

Purchase Price: $160k (putting 25% down)

ANNUAL Rental Income: $28,500

Expenses

Taxes $5,264

Insurance $2,100

Vacancy $1,710

Cap EX (25%) $7,125

Snow Removal $500

Debt Service $7,730

Total Annual Expenses: $24,429

Year One Cashflow $4,071

**Once work is complete, and new tenants found, annual cashflow estimate is $12,000 - 14,000.

This is pretty good in this market right? I'm a little hesitant about keeping the current tenants and using their rent to save for CapEx VERSUS starting fresh and just spending everything up front (I would have to take on another loan). Are these the kinds of numbers I should be getting with a 3-family unit... anything I'm missing?

Thank you!!