All Forum Posts by: Danny Daniel

@Sam Hadad Thanks for providing your opinion!

@Liam Goble $20K is the estimated repair cost for me to do analysis. The condition of the property is not that bad; therefore, it shouldn't go beyond this number.

@Julie Barrow Thanks for providing your feedback, I just send you another email...

I'm in the process of analyzing one duplex in Sacramento with below breakdown.

Price: $165,000

Type: Duplex (each unit has 4 bed/2.5 bath )

Rent: $1,050 /each unit

Repair: $20,000 (property needs rehab)

Vacancy: $346.50

Insurance: $100

Maintenance: $210

PM fee: $0 (I'm going to manage it myself)

Landscaping: $80

Utilities: $100 (trash only)

NOI: $13,182

Cash flow: $4,678.75 (20% down 30yrs fixed @ 5%)

Cap rate: 7%

However, this property is located in lower-middle income area which makes me feel hesitate to proceed. What would be your opinion?

@Kevin Nalley Thanks for your information regarding the repair rate!

@Ali Boone Thanks for providing your opinion!

@Kevin Nalley Very appreciate your unbiased opinions! I can allow 8.33% vacancy rate but I put 12.5% while I do my analysis and I put 7% of monthly rent as repairs.

Hello,

I have a potential deal in Oakland, CA with the following information.

Purchase price: $180,000

Type: Single family house

Bed/Bath: 3/2

NOI: $11,340

Cash flow: $2,064 (30 yrs financing @ 5% rate with 20% down)

Cap rate: 6.18%

I want to purchase it as rental property for buy and hold. However, the main concern for me is the crime rate. Could anyone provide me feedback or suggestion whether I should continue to purchase it as a rental? I appreciate your time and help!