Is this multi family a deal?? (first post)

[Kyle Matthews]

Hello all,

I've been browsing the site while I socked cash away and I've recently started actively looking for MY FIRST PURCHASE. I would love some feedback on the following deal. FYI My strategy is buy and hold multi families.

3 unit multi family in good location, easy to rent. Listed for 295k, offered 272k with 3% seller's concession only to have the seller come back with 293k but agreed to 3% concession.

Annual income
Unit 1 - 20,400 - occupied
Unit 2 - 15,660 - occupied
Unit 3 - 9,000 - vacant / currently taking applications
Total - 45,060

Annual expenses
Taxes - 6,695
Ins - 1,000
Heat - 1,200 - landlord pays heat, tenants pay everything else
FHA Mortgage - roughly 18,100
Vacancy - 4,506 - 10% - very conservative
Repairs - 4,506
Prop mgmt - 3,604 - quoted 8%
Total - 39,679

Net income - 5,381

Cap rate (-mortgage) - 8%

The top unit needs $8,000 in repairs, but would increase rent 150/month.

Is the a deal?? Thank you in advance for feedback!