Thinking about first duplex. How's it look?

[Jeremy Vohwinkle]

Hey, guys. So, I've been in search of my first multi-family and think I uncovered a gem, but I'm still new at running all the numbers so I was hoping to get more experienced eyes to take a look and see if I'm way off base, missing something, or if maybe I did find a genuinely good deal.

Here are the main details:

2,400 sq/ft brick duplex, 2b/1bath each unit, fully renovated, new hardwood throughout, tenants pay utilities, etc.

List price: $79,900
Expected purchase price: $72,000

Initial investment:

25% down: $18,000
Closing costs, inspection, etc.: $3,000
Improvements/Appliances: $5,000
Total cash outlay: $26,000

Annual expenses:

Property taxes: $750
Insurance: $700
Annual maintenance: $500
Advertising: $100
Property management: $1540
Mortgage: $3,283
10% vacancy: $1400

Rents:

Going rents in the area for similar properties of this square footage in the neighborhood range from around $700-$950/month. So, assuming both units rent for just $700, that's a gross rental income of $15,400.

Crunching the numbers, that gives a NOI of around $11,600. Less mortgage payments, and the net cash flow is around $8,350.

So, cash on cash ROI is about 32%?

That almost seems too good to me, so I'm wondering if I'm missing something. The most recent assessment puts it at around $85,000, which I don't doesn't mean much. But recent sales I could dig up show homes of similar size within a few blocks have sold for anywhere from $65k to $120k. In fact, a few homes are listed just a few houses down at between $134k and $190k. The only drawback, that I can see, is that it does not have air conditioning.

From what I could dig up, the owners are also owners of a custom cabinetry company, so I'm guessing they bought a fixer-upper, used their skills to finish the house nicely, and are now flipping it.

To give an idea of the quality of the rehab, I've included a few pictures. It looks very nice.

So, what do you think? Do my numbers make sense? Am I missing something obvious? Is it a decent deal?