You need a bunch more information to evaluate that, including what the surrounding homes sell for, how much work it needs, what the lot rent is -- that type of data.

I have been evaluating properties in the areas of Wilmington, Newark, Elsmere and Hockessin in Delaware and Delaware County in Pennsylvania; it appears that each area has significantly different types of markets and investment opportunities.

So far I evaluated deals in Alabama and Dayton OH.My assumptions are:25% down loan8% vacancyproperty tax are around 2000 per yearinsurance 1500 per yearmaintenance and cap reserve 2000 per yearutilities - what the current owner is paying property management 10%When I use these assumptions I am getting a lot of properties that will cash flow about 3.5-4k per year.

Also do you know if any multiples to help evaluate it?

I use two unit properties in Allentown to evaluate this change. 

Education, deal evaluation, and due diligence are vital.I hope that people take note that there are a lot of experienced investors here who are advising to be cautious with the BRRRR strategy.

Determine how many deals you are looking to do each year and evaluate that against the yearly cost of holding your RE license.

v=MOBzSKoMoWkI'm in the same camp as @Chris Seveney - I look at the IRR on every deal I evaluate.  

How do you guys determine what is a good CAP rate to use when trying to evaluate a property, in a particular market?

Good morning. My wife and I are new investors. We've been studying for about a year and have identified the market where we'd like to invest and have also decided to focus on condos, at least for our first property or...