Property is a 5 unit building and generates $480 per unit, $2400 monthly, $28800 annually.Annual taxes:  $2400Annual insurance:  $981Owner pays water/sewer/trash (I don't have those figures yet)Roof is new.  

Newer Trane HVAC, Newer Roof, gutter guards, Etc.

(BS meter through the roof.)Armando event- ha that's funny Jay!  

Other than actual numbers, CAP rates, and obvious market risk factors e.g. area is a war zone or the roof is covered with a tarp etc., what factors or metrics are "essential" to making a smart multi-family real estate investment decision?

My friend just told me he pays HOA fees, and he was STILL assessed $10K for a new roof!  

Basics of the deal:Asking $750,000 with seller to owner finance with $25,000 depositGross income - $111,000Taxes - will be 3.7% of actual sales priceInsurance - $7,000Utilities are $7500 Assuming 5% vacancy rate and 10% repairs (property has had recent maintenance work and new roof and parking lot and nothing that appears imminent)Assuming 7% property management (which is average for our area) although we will self-manage at first although I know that we need to consider it in our analysisThe numbers don't work at their asking price.We'd like to offer $625,000 at 6.5% interest for 30 years, balloon after 20 yearsThe cash on cash return without the property management is 27% but with the property management, there is potential for negative cash flow in years with high vacancy and repairs.

Currently we are in the framing stage, roof is going on today.Our plan is to focus on BRRRR, followed by Fix and Flip.

Well problem is they put on a new roof on and day before closing its leaking.  

Here are the numbers: Asking price - $630,000 Down payment $126,000 Monthly Rent - $7,585 ($91,020 annualized)Expenses - $1,825 monthly ($21,891 annualized)NOI - $69,130 Annually10% Vacancy - $9,102Debt Service $3,000 monthly ($36,000 annualized)Cash Flow - $2,002 monthly ($24,027 annualized)Cash on Cash return - %19Cap Rate - 9.5% after vacancy deducted from NOIAverage rent $506 over all unitsThe property has new vinyl siding, new windows, and new roofs in the last 5 years.

Spreadsheets and websites are great for starting out but you will need to be able to look and say that roof needs replacing so for an 1800 sq. ft. house it’s in the 4 to 5K range.I can go on with other tidbits but that will get you started.