Hello everyone, I am new to REI, but I’ve learned a great deal from this site (very informative). I’m currently working on my business plan and have talked to several lenders (need to get my credit score up). I’ve looked at a number of houses and feel very comfortable with the property values in my target area. I am also working with a realtor who specializes in investment properties. I’ve been looking for single family homes to fix-up and rent (very good market for rentals - Section 8). Now, while doing my homework I came across the following deal:
Purchase Price: 325,000
Repairs Needed: None
Gross Rent: 6,250 per month
P&I : 1,250 (current mortgage) per month
Taxes: 292 per month
Insurance: 292 per month
Vacancy Allow: 300 (5% of gross income) per month
This deal was out of my price range (looking for single family homes under 80k to fix-up and rent, but it appears solid. I would hate to miss out on a good opportunity!
What do you think? Am I missing anything? If doable, how can the project be financed with little to no money in New Jersey?
Thanks in advance