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Updated almost 12 years ago,
Duplex opportunity for 160k, need help analyzing
Hi all, I have an opportunity to buy a 2 unit duplex at 160k with nothing down, owner financed at 7% for 20 years.
Yearly combined rent is 25800 (2150/month)
I will be paying water- about 2400 per year (200/month)
insurance and property taxes come to about 6617 (552/month)
monthly mortgage is 1240
I know the cashflow is not nearly at the ideal amount, only coming in at $158 but is appreciation and the terms alone worth it? Im 25, make decent money but after looking at traditional loans for a rental property, they want 25% down which just isn't an option right now. Is this a good opportunity to get into the game?
Any advice is much appreciated.