SFH deal analysis.

[Elliot Mendoza]

So I've considered buying a new home development in my area. It's a primarily military area, those that aren't typically work at a major hospital near by, rents run between 1700-2k for houses.

I work with a guy who rents on the street I was looking to buy in for 1800 a month(1700 sq/ft house).

Home prices range from 140-160 and I found a good number for sale online right at 150k with closing costs paid for by builder.

So doing the numbers:
150k
25% down = 38,750k
116,250 loan at 4% = 555 P&I/6,660 yearly
Taxes = 274 monthly (based off 80% value, taxes are 2.65% in this area)/ 3288 yearly
Insurance = 67 monthly/ 804 yearly

Monthly rents: 1800

NOI: 10,800
Debt Services: 6,660
Income: 4,140 monthly or 345 monthly.
COC ROI: 10.68%

Military are a typical turn over of 2-3yrs. When they get PCs'd to another duty station. My main concern is they usually have 2-3 kids.

Is that a good deal in general?

I had thought about buying a house in this area about 6 months ago before I got the idea to purchase a quadplex, so I held off. Now that I've been reading these forums and have a little more education, I'm just checking my numbers to see if I've got the analysis thing down for the most part.

Thanks for your time folks :)