First time Home Buyer- Quad Plex

[Mayson Madden]

• For Starters
  
• First off, BiggerPockets is an amazing site. I have been one of those lurkers everyday while listening podcast after podcast for almost a year now. Started taking the advice of Brandon and Josh and communicating on the forums more, bought books and have been reading like a college kid cramming for an exam, started specifically going onto the site to learn a specific thing every day and finally decided it was time to stop renting. With that being said, I am excited to hear from everyone and anyone. Just a couple of things I would like on the post. 
  
  
• Guidelines
  
• Nobody likes to get all negative stuff or all positive. Basically, if you can, give the flip side to a statement so I and everyone reading can see both perspectives.
• I am more than open to Direct Messages. I actually would love them.
• This is a post to help keep my mind in business mode instead of home owner mode. This is a investment for my future and how I view things should be from that perspective.
  
  
• The Briefing
• Using a VA home loan, offer, counter offer, and (hopefully) acceptance for a 4-plex in South Milwaukee with the hopes no one jumping in and beating me, I'll have my first home to live in while living rent free. We have contingencies in place to see all of the units (I have seen 2 so far) as well as the inspection and appraisal still to come.

Details of Property

Had previous offer, financing fell through, came back onto market.

Asking price $225,000,

 1958sqft, 1 bed per unit, 1 bath per unit, 1 living room per unit, 2 story 

Built in 1922, rubber roof, aluminum exterior, 1 furnace (1995), 1 water heater(not sure on year), 1 water storage tank (was listed on condition report), units are definitely dated and could use some nice touching up (which I plan on doing myself to get some experience). Basement would not blow anyone away, but definitely fits into the 1922 built year type.

Questions- What does this look like to a more experienced investor? What are things I should be considering and be wary of? What are things I should be excited about that novices do not notice?

Current Tenants and Rents

My current rent is $567

Currently have a tenant with his wife who has been the caretaker for 15 years on a term lease till April at $535

Other rents all month to month at $580, $550, $535 total of $2,200 month ( 1 of which I will be taking over so subtract 580) for $1,620 monthly. Anticipated mortgage $1,212,         1620-1212= $408 

Questions - Rentometer says all of the rents are on the very low side, comps have been around $675, how should I work with this? The extra $408 is planned on being saved in case something goes wrong and unexpected or is there something I should be looking to do with it?

Plans

I have $10,000 set aside specifically for improving the place.

Live in for a year or so, try to save as much as possible while working, then move out and rent my current spot, build the portfolio. I am currently trying to network more and more. 

Make sure I have all documentation prepared and legal, basically everything in Managing Rental Properties (I would like to have some references for good attourneys). This is to make systemization and ease with moving forward and having a good foundation to always use.

Additionally

If there is more information that I should provide or that you are looking for that could make this better please let me know. I am excited as all heck to get out of the analysis paralysis. Which is something I believe is a terrible thing, so much so, I am more willing to fail a couple of times then never get started. Which is very hard for my family and friends to wrap their heads around (they have the bad landlord, bad investment, it will go wrong mindset). I prefer to think of it as a great starting point and learning opportunity. Lastly, thanks for reading this and if you do have advice thanks in advance. This process of buying homes is extremely enjoyable even in this ridiculously competitive market, writing this post is scarier.