Property consists of a 3/1 home in the front with an efficiency in the back.
Property is currently rented for $1,900/mo!
-3/1=$1,200/mo
-Efficiency=$700/mo
-Tenant pays electric, landlord pays water which is roughly $100/mo.
Tenant has been there for 4 years in the front house and 2 years in the back. The tenant pays for 3 months at a time (Paid $5,700 in early January for January, February, and March.)
Breakdown of Income: Acquisition Costs:
-Purchase Price: $162,000 CASH
-Estimated Closing Costs: $5,000 Total= $167,000 Operating Income:
-Gross Annual Income: $22,800
-Yearly Expenses: $1,800 for taxes + $3,000 for Insurance + $1,200 for Water Bill = $6,000 Net Operating Income= $16,800/year CAP RATE: $16,800 ÷ $167,000 = 10% CAP RATE!
This property needs no work. It has been well kept, and the roof is only 2 years old! Just close and continue collecting rent!
Duplex Comps: - 5014 Pinewood Ave: Sold: $202,000 on 2/26/18 Income: Sold vacant with a prior $1,800/mo income Sq. Ft.: 1,633 Construction Type: Wood Frame - 702 45th St: Pending: $215,000 Income: $2,050/mo Sq. Ft.: 1,550 Construction Type: CBS Notes: This duplex is only 8 doors down from our subject property! This property also needs a new roof as well as some minor interior repairs!