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Updated over 4 years ago on . Most recent reply
Newbie - Please Help Me Analyze This Property
Hello BP,
I found an off market deal and I wanted to see your opinion on my analysis and whether or not I should move forward with this deal for a house hack. The property is a duplex each side being 1160 sqft 3 bed 2 bath, 2 car garage and a yard. Both sides also include a washer and a dryer. I am running my numbers based off 1350$ per side. My realtor believes I can get 1400$-1500$ especially if I allow pets (which I intend to do).
The seller was initially asking 400k, I offered 370k and they cover closing. They countered at 375k and they cover closing. Here is my analysis for the 2 different scenarios with a conservative rent of 1350$ and a more aggressive rent of 1500$.
Any advice would be much appreciated!
Conservative Rent:
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Aggressive Rent:
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Most Popular Reply
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Did you also account for a tax increase? Depending on when this deal last traded, you may see a tax increase when you buy it. Otherwise I think the numbers look pretty decent. I'd also account for a PM fee unless you plan on managing it forever. It's always good to make sure the numbers work even with a PM fee, in case you decide to outsource it to a PM one day.