Duplex near U of M

This duplex currently has one 3-bedroom unit (rents for $1,550/mo), and the seller is adding a 4th bedroom for the 2013-14 school year, with a signed lease for $2,000/mo. The other unit is a 5-bedroom, currently rented for $2,300/mo with a signed lease for the 2013-14 school year at $2,500/mo.

Rented through August 2014. Conveniently located near U of M campus, bus lines, Dinkytown, etc.

Asking $450,000
Cap Rate: 8.6%
13.5% Return on Investment (assuming 25% down with 5% interest rate)