Help me analyze this deal

[Susan Reehill]

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What should I be looking for when I analyze properties in my area? What makes a property a "good deal"? This says cash flow at less than $200 per month, that's okay yet doesn't leave me room for errors. I'd love to get your thoughts! 

[Tim Herman]

@Susan Reehill Unlikely get a 3% loan, especially with less than 20% down. This loan will have PMI. 4% or greater for nonowner occupied. Taxes will likely go up. The gas company and someone else is going to pay you $11 per month. How did you arrive at your variable costs? Vacancy of 5% is your tenant staying an average of 20 months. 5/100=1/20. I analyze at 8% or 1 turnover per year. Don't know what size property or how many units this is, so I don't know if the repair and capex budget are enough. If you have gone to a flooring store the commercial warranty on laminate and lvp is 10 years. That isthe number I use in my capex budget. Assume 2000 sf of flooring. My area it is $6 sf to replace with a moderate laminate. $12000/10 year life span/12 months in a year=$100 per month for 1 item in a capex budget. Still have to account for roof, hvac, appliances, hot water heater, siding, bath and kitchen remodel, etc.