Build and hold 8 Plex help

[Kaleb Carsten]

Hey BP,

I need some help analysing a potential deal. I have a property in South Dakota that I'm looking to purchase.

This deal would be purchasing an existing sfr on a double lot, tearing it down and building an 8-plex with 8 garages.

Purchase price =35k

Contact estimated =$575 for tearing down and construction.

Leaving some leeway for error I was estimating $635k all in for construction of the property.

For the rental portion I am seeing 

5-1br/1ba units renting at $700

3-2br/1ba units renting at $1000

9 garages renting at $50 each

Coin op washer and dryer $90 

Total monthly income $7,040

Expenses 

Taxes =$12,500

Insurance=$2,000 (my estimation have not gotten a quote)

Property management= 10%

Vacancy =10%

I'm not sure if I missed anything but it looked like a good deal in my head. Any advice?