Hi, I live in California and the property here is a little out of my budget. I am from Louisiana and still have family and friends there, one of whom is a realtor.
My realtor friend showed me a 1400sf SFR on .2 acres. The price is 64,500. I was wondering if I could get some help me see if this is a good deal for a buy and hold. The property does not need any work other than a deep cleaning.
64,500 purchase price
10% down because the loan will be structured as a second home. 6,450.
3,000 closing cost
I will be taking out a loan and have excellent credit
After the down payment and closing cost, the amount financed will be 61,050. Which is the purchase price and closing cost that I am rolling into the loan.
The loan % should be around 3.9. Rent in the area is about $625. Insurance is about $70, and there are no property taxes for a property under 75k in Louisiana, property management of $65.
Rent increases about $30-$50 a year.
I'm looking to cash flow about $215. This is my first property, so just looking to get some feedback.
Thanks for your time!
