@Jay Dewberry @Daniel O.
Thank you both for your responses and the good information. For more background, I manage a large property management company and have access to a lot of vendors to keep costs way down as a lot of them will do things 'at cost.' I've frequently dealt with property owners who incur a large expense and are scrounging, maxing out credit cards, etc just to fix. The building is listed for $369,000, which is basically what comparable buildings are selling for. I plan to maintain a home warranty plan on it past what the seller will provide to cover major repairs (HVAC, major plumbing, etc) and we have two staff handymen who can handle all minor repairs (leaky faucets, broken lights, etc). In addition, the commission I would get from the sale (roughly $9,000) would go directly into a "reserves" account specifically for this property.
Another reason why I am wanting to get something quickly is my lender said I need to own it for a year before I can purchase a new single family home conventional, which we were planning next May.
If rents are raised to current market value, it should be in the positive roughly $500 if there are no maintenance expenditures that our handymen cannot handle. Also, once I am able to eliminate PMI, profits will increase by $289. Thoughts? Also what are your feelings on maintaining a home warranty plan? For 4 unit building through Fidelity it's roughly $1,000/year. I have a lot of clients that maintain them, and one saved them from a $5,400 HVAC bill.
