[Calc Review] Help newbie analyze this deal

[Chris Morris]

I live in an expensive area and places are going very quickly. It has been hard to find anything on market that would meet 70% rule and I think I am okay with that if I can house hack in order to get my monthly rent cost down. However, I don't see how I could get my upfront cost back after refinancing in 1 year, which concerns me because I want to buy again next year.

This up/down duplex has been on the market for over 300 days and I viewed it with my real estate agent Thursday. Its listed at $335,000 but I would offer $300,000. I would use an FHA for the initial purchase and refinance to a conventional loan in one year. From what I can tell the place is not in too of bad of condition. What I know it needs is: roof, flooring, kitchen update, paint, bathroom update, maybe siding if I can budget it. I have some limited experience in kitchen and bath work so I could do some of the work. I also have a cousin who does handyman work that can give some tips or he would do some work at a good price. My plan would be to to move into the top unit remodel as quickly as possible and then move into the bottom unit to rent the top out.

Thank you.

View report

*This link comes directly from our calculators, based on information input by the member who posted.