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Updated over 4 years ago,
Help analyzing an apartment deal
Here is the deal: 8 unit complex. Purchase price would be $325,000. Owner would finance for 6.5% 10% down. Each unit rents for $500. Only 1 unit has been vacant for 1 month in last year.
The roof was new in 2016. Current owner has replace the flooring & paint in a couple units as the tenants have moved out over the last year. One unit has a new fridge.
He shares the trash expense with the owner of the other apartment complex and it is $70/month. Taxes are 1600/year and insurance is 2100/year.
Using the Bigger Pockets calculator, the CoC ROI was 36.88% and the monthly cash flow was $998/month.
5 year Annualized return was 36.7%.
Thoughts?