Hey, Everyone, I'm Dave Meyer with BiggerPockets.com and today we are analyzing a 4 unit multi-family to see if it makes a good investment on this episode of Deal of the Day. Thank you, everyone for joining us. Today's Deal of the Day was submitted by BiggerPockets user Al Smith, who lives in Indianapolis, but is looking at a deal in Lewiston, Maine. Before we jump into the numbers and the specifics, how to analyze this, I'm going to talk a little bit just about the details of the house that Al gave us and some of the questions he asked us specifically to address. So, the house was built in 1881, definitely a house on the older side. It was converted into a fourplex at some point after its original construction, so we know it wasn't designed this way, but that's not necessarily a bad thing. It's listed at $110,000 and has an estimated monthly rental income of $2,250 per month. Taxes are only $2300/year for 2017. So, I'm already liking the numbers on this deal before we really get into any of the details The location is in an older part of town which isn't really a bad thing, but something to think about.
And as for Al, our BiggerPockets member, he's a first time investor. He has $40,000 saved up, so great job Al, but he prefers not to put that $40,000 all towards the down payment and is looking to use a conventional 30 year loan with 20% down… which definitely would be possible with these numbers… (Volume Up)
On this week’s episode of Deal of the Day, we are analyzing a fourplex in Lewiston, Maine.
Using the BiggerPockets Rental Calculator we will be able to see if this property will cash flow and ultimately make a good deal for BP member, Al Smith!
Join us and learn how to analyze potential investment properties.