There's a quadplex in our town we are interested in buying. Well, IDK if quadplex is right, but it's a single property with 4 rental units. It's 3 flats, plus a carriage house. Each unit is 2 beds/1 bath, with the exception of the 3rd floor unit, which is 1 bed 1 bath.
I am thinking my family would live in the carriage house, and we'd rent all the units in the main house. They are currently all occupied, and I believe the 3 units in the house currently bring in $2,850. The home is listed at $475K, and the taxes are about $6K. With 20% down, the rental income from 3 units should cover the monthly mortgage payment including taxes.
We've been renters for all our lives, so I'm seeing this from a very very novice perspective. I know maintenance and expenses will eat into that rental income, but I'm not sure exactly how much. The place looks well maintained. Rent includes water/sewer/trash, which is billed by our town, so I guess we'd be paying that. (Our bill is $200-$250/quarter for that, so x4 units, I guess it'll be about $4K/year).
What do I need to be thinking about and considering before we dive in?