700 sqft 2 bed 1 bath, full unfinished basement.Needs new water heater, furnace, central out unit, new carpet.Everything else seems to be in great condition.Under 4k in updates to get it rent ready.Monthly expenses will be$30 association fee$60 property taxes (700 per year)$insurance..waiting on a quote from my broker.the comps in the area rent for around $650-700seems like a no brainer to me.

Also, the inspection went really well with very minimal things to fix.purchase price $191,000 4 plex.25% down at 4.75% interest rate. monthly mortgage $1,150Total rent each month $2,350 with a on site laundry that brings in around $80 a monthunit 1 $550, unit 2 $575, unit 3 $600, unit 4 $625my water will average around $180 a monthcash flow is roughly going to be $1000 a month not including vacancy rate and repairsall four units are rented and the tenants want to stay. 3 out of the 4 tenants are all Air Force since it is close to a local base.Do I want to have all the tenants to sign a new lease?

I am notorious (ask my wife) for missing or overlooking that one thing that blows the contingency out of the water.

Will this allow water to go behind the panel and cause mold on the studs or does this evaporate?

You have wood rot to watch out for and if no gutters or drainage isn't correct that will accelerate the problem over time.

Larthsa,To figure cash flow, you list all of the monthly expenses, Principal and interest, taxes and insurance, add in any utilities, HOA fees, etc,,,then you need to figure out a fair figure for "reserves', this is a hold back amount for the hot water heater breaking etc,,,then figure in a percentage for vacancy (most will use around 5% if its easy to lease) if your going to have a management company manage, their fees,,then add,,,take the final figure and take it from your monthly rent, and you SHOULD have your cash flow (if I missed anything anyone please chime ini)If you want to figure your "cash on cash" return, figure out how much you will end up in the deal for in cash (deposit, rehab, closing cost paid in cash etc, all expenses you will pay in cash), thats your total "cash" in the deal,,now see what your annual cash flow from the property should be, divide that by the cash you have in the deal, and you should have your cash on cash.You can do this with a simple spreadsheet, it makes it very easy to look at deals, but remember, these numbers are only right IF the estimates you put in are right,,,including the anticipated rent,,too many new investors tend to under estimate expenses and over estimate rent.andy

Hot water baseboard heat runs at a lower temperature, usually around 160 degrees Fahrenheit.

A new water heater, installed, is 16 months of savings, etc.

Water and sewer bill is over 10K

You (or somebody you hire) needs to determine the source of the water causing the mold.