[Calc Review] Help me analyze this deal

[Ashley Nichols]

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

Just wondering if someone has time to take a look and let me know if I made any mistakes. Looking for advice/input. 

Thanks in advance : ) 

[Tim Herman]

@Ashley Nichols have you run  a capex budget on the property. Unlikely that $47 will cover all the expenses. Say you have new flooring the day you buy it. Look at the warranty for commercial and most are 10 years. That is the lifetime. Say you have 1000 sf of flooring. My area it is $6 sf to replace. $6000/10 year lifespan/12 months in a year=$50 per month for 1 item in a capex budget. If the floors are 5 years old and you don't want to come out of pocket you need to budget $100 per month. Still need reserves for roof, appliances, hot water heater, hvac, bath and kitchen remodel.etc.

Unlikely insurance is $25 per month and taxes will go up as you improve the property. Don't know if you can get a cash out refi for 3%.