OfflineHi guys, i located an awesome looking 4 unit duplex in a great area in my town.. The property needs literally nothing. each unit has its own entrances. 2 units were updated the other 2 weren't, but they still need no work. The only thing that concerns me is the property only has 1 bd rm in each unit. The SEV is $181,000 taxes $5,800, price is $64,000. Rent in the area for 1 bd rms can easily go for $500-$600.
I think its a steal, but i would like to get a little advice before i put my offer on it. Do you guys think it would be hard to sell it off due to the fact that they only have 1 bed rooms?
Thanks so much in advance for any advice..
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I think its a steal, but i would like to get a little advice before i put my offer on it. Do you guys think it would be hard to sell it off due to the fact that they only have 1 bed rooms?
Thanks so much in advance for any advice..
Based on the price of $64k and even with no money down, and those high taxes, your mortgage is around $700-$750 tops. This is completely off the top of my head mind you
Average monthly is $2200 a month($550 rent), heating costs about $300-$400 monthly based on high end estimate, sewer and water $100 every three months, misc costs about $100-$150 per month, not sure if you add in snow plowing as a courtesy, I can't see why you wouldn't but keep in mind you may at one time or another be asked to have the other apartments renovated if the others are.
I say go for it
Thanks so much for responding. Great guestimate!! Im still a little fearful due to the fact that i'll be purchasing through a HML and alot of the ones I came across have terms for 6 months.. I would love to find one with longer terms so i can profit monthly and have time to get locate a buyer within a year or so.. again, thanks alot for your wisdom.
look for a buyer while you're trying to purchase
Speeds up process. Actually look for as many buyers as possible so that if one drops off, you have others waiting in the wings
Okay, I'll do just that... But do you think 1 bd rm units are difficult to rent in today's market?
but it can be done
If the numbers are to your satisfaction, I think your area dictates if 1 bedroom units are easy to rent ... if it's a city location, then no problem because there are alot of working singles or couples. But if it is in the burbs, then usually it's more family oriented & they would be looking for 2 or even 3 bedroom rentals.
I agree with you guys completely!! But the property is in the subs, But I think im gonna get it... Im just a little nervous since this will be my first deal through HML, I want to make sure im doing the right thing. thanks a bunch for all the support and help..